Great-West Lifeco announced that its European subsidiary, Canada Life Group, has reached an agreement to acquire Legal & General International ( Ireland ) (LGII).

Terms of the transaction were not disclosed.

Launched in 2007, LGII is a subsidiary of the Legal & General Group and is based in Dublin, Ireland , a country with a leading international financial services centre.

LGII provides quality investment and tax planning solutions, primarily focused on the UK high net worth market. LGII has over 4,000 UK offshore bond policies with assets under administration of £2.5bn (Cdn $4.74bn), as at 30 October 2014.

"The proposed transaction will enhance the position of Canada Life in the UK, and give clients and professional advisers further confidence in our UK offshore business," said Paul Mahon , President and Chief Executive Officer of Great-West Lifeco.

"Canada Life is a highly regarded offshore bond provider and has been selling into the UK for over 27 years through its offshore companies, based in the Isle of Man and, more recently, also based in Dublin ," said Mahon.

The transaction is expected to close in the second quarter of 2015 and is subject to customary regulatory approvals, including approvals from the European Commission under the EU Merger Regulation, and certain closing conditions.

Formed in 2007, LGII is a Dublin based life assurance company providing quality investment and tax planning solutions, primarily to residents in the UK.

The company is a subsidiary of the Legal & General Group. Established in 1836, Legal & General is a leading provider of insurance, savings and investment management products in the UK.

The Group is responsible for investing £676bn worldwide (as at 30th September 2014 ) on behalf of investors, policyholders and shareholders. It has over seven million customers in the UK for life assurance, pensions, investments and general insurance plans.