UK-based insurance services provider Phoenix Group Holdings has confirmed that it is evaluating options to purchase Guardian Financial Services, which provides closed book consolidation and capital release solutions to banks and insurers.

Phoenix

The deal is expected to be valued at around £1bn, reported Sky News.

In a statement posted on its website, Phoenix said the evaluation of Guardian Financial Services is part of an on-going sale process for the business and discussions remain on a non-exclusive basis.

The firm also said that there are multiple potential acquisition and consolidation opportunities in the UK closed life sector and has been reviewing those options within the framework of its existing commitment to stakeholders.

Guardian has two subsidiary life assurance companies, including Guardian Assurance and Ark Life Assurance, which provides customer services and secure benefit payments to their policyholders across pensions, annuities, savings and protection.

The group’s subsidiary firms manage pensions, savings and protection policies for over 900,000 European policyholders, with around £18bn of assets.

Phoenix Group is specialized in the management and acquisition of closed life and pension funds. With its three operating life firms, Phoenix manages around five million policyholders and £52bn assets.

In June 2012, Phoenix agreed to transfer a £5bn annuity book to Guardian Financial Services.


Image: Guardian’s subsidiaries offer customer services and secure benefit payments to their policyholders across pensions, annuities, savings and protection. Photo: courtesy of cooldesign/ FreeDigitalPhotos.net.