European savings and retirement services group Athora to acquire Pension Insurance Corporation Group
PICG will become the UK insurance business of Athora and continue to operate under the PIC (and penguin) brand, benefitting from increased access to long-term growth capital and enhanced asset origination expertise as part of Athora
Acquisition to create a pan-European savings and retirement services champion, establishing a leading position in the UK Pensions market to complement Athora's existing operations in the Netherlands, Belgium, Italy and Germany
LONDON, July 3, 2025 /PRNewswire/ — Athora Holding Ltd. (Athora or the Group) and Pension Insurance Corporation Group Limited (PICG), one of the UK's leading pension solutions providers, today announced that Athora and the shareholders of PICG – Reinet Fund S.C.A., F.I.S.; a wholly owned subsidiary of the Abu Dhabi Investment Authority (ADIA); funds managed by CVC Capital Partners (CVC) and HPS Investment Partners (collectively, the Consortium) – have entered into a definitive agreement for Athora to acquire PICG for approximately £5.7 billion. Upon completion, PICG will become Athora's UK insurance business, operating under the Pension Insurance Corporation (PIC) and Penguin brands.
Athora is a leading European savings and retirement services business with €76 billion of Assets under Management and Administration (AuMA), serving approximately 2.8 million policyholders. Athora is backed by permanent capital owners, including a strategic minority investment by Apollo Global Management and Athene Holding Ltd, and long term institutional investors such as a wholly owned subsidiary of ADIA.
As a result of the transaction, PICG will become Athora's UK subsidiary, maintaining its long tenured team, dedication to customer service, robust capitalisation and disciplined investment philosophy.
In addition, PIC is poised to benefit from broader resources, long-term growth capital, and enhanced asset origination capabilities, including in private investment grade credit resulting from Athora's strategic relationship with Apollo. Together, Athora and PIC believe the combination will accelerate scaled, high-grade financing in the UK market, increasing productive investment in the economy and supporting retirement outcomes for pensioners.
The acquisition of PICG by the Athora Group will create one of Europe's largest insured savings and retirement services businesses, building on existing subsidiaries in the Netherlands, Italy, Belgium and Germany.
Commenting on the acquisition, Mike Wells, Athora's Group Chief Executive Officer, said:
'We are pleased for PICG to become Athora's first UK insurance business, maintaining its great team, brand and utmost commitment to serving its customers. The acquisition by Athora will enhance access to long-term growth capital and asset origination capabilities, enabling PIC to serve more of the UK savings and retirement market, where it has already established itself as a top three provider in pension risk transfer.'
Wells continued, 'Today, PIC is a significant investor in the UK economy and, as part of Athora, we believe it will play an even more meaningful role in providing long-duration financing for infrastructure and other long-term assets.'
Tracy Blackwell, CEO of PIC, said:
'PIC has had an amazing growth story over the past two decades and is now one of Britain's preeminent pension businesses. This success has been based on a simple purpose, which is to pay the pensions of our current and future policyholders. Athora's investment is validation of what we have always believed: that PIC's reputation, strategy, fortress balance sheet, purpose, and most importantly our people combine to make this a unique business in a huge and growing market.
'With Athora backing us through our next phase of growth as their UK insurance business, we will be able to provide more options to the trustees of defined benefit pension schemes and invest more in the UK economy and infrastructure. The pension risk transfer market is vital to the wellbeing of millions of UK pensioners and the allocation of tens of billions of pounds of investment into the UK's economy. This acquisition and the potential for growth that it represents is, in our view, the strongest possible recognition of the value and importance of the pension risk transfer market, the sector that PIC helped to create and continues to lead.'
After adjusting for the acquisition, Athora will have approximately €135[1] billion of AuMA, representing a 78% increase on the year-end 2024 level. The acquisition will be funded primarily by equity as well as long-term bank debt. Pro forma for the transaction, Athora expects to maintain solvency ratio above its target levels.
The proposed transaction is expected to close in early 2026. Completion of the transaction is contingent upon satisfaction of customary closing conditions, including regulatory approvals from the PRA.
About PIC:
The purpose of PIC is to pay the pensions of its current and future policyholders. PIC provides secure retirement incomes through comprehensive risk management and excellence in asset and liability management, as well as exceptional customer service. At year end 2024, PIC had insured 400,000 pension scheme members and had a portfolio of £50.9 billion, accumulated through the provision of tailored pension insurance buyouts and buy-ins to the trustees and sponsors of UK defined benefit pension schemes. PIC has made total pension payments of £16.2 billion to its policyholders and has invested £13.8 billion in UK private investments, including housing and infrastructure, creating considerable social value. Clients include FTSE 100 companies, multinationals and the public sector. PIC is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and Prudential Regulation Authority (FRN 454345). For further information please visit www.pensioncorporation.com
About Athora:
Since inception in 2018, Athora has grown to be one of the leading savings and retirement services providers in continental Europe. Athora has primary insurance operations in the Netherlands, Belgium, Germany and Italy. As of year-end 2024, Athora's AuMA totalled €76 billion, representing the savings of 2.8 million customers. Athora has completed seven M&A transactions, alongside nine Pension Risk Transfer transactions in the Netherlands. Athora has a strong track record of providing attractive outcomes for its customers, reflecting the merits of its business model and access to differentiated investment capabilities through a strategic partnership with Apollo Global Management.
Disclaimer:
This press release contains inside information within the meaning of Article 7(1) of the EU Market Abuse Regulation (Regulation 596/2014). For the purposes of Market Abuse Regulation (EU) 596/2014 and Article 2 of Commission Implementing Regulation (EU) 2016/1055, this announcement is made by Ben Adams, Director of External Communications for Athora Holding Limited.
Certain information contained herein may be 'forward-looking' in nature. Due to various risks and uncertainties, actual events or results or actual performance may differ materially from those reflected or contemplated in such forward-looking information. As such, undue reliance should not be placed on such information. Forward-looking statements may be identified by the use of terminology including, but not limited to, 'may,' 'will,' 'should,' 'expect,' 'anticipate,' 'target,' 'project,' 'estimate,' 'intend,' 'continue' or 'believe' or the negatives thereof or other variations thereon or comparable terminology.
[1] GBP/EUR exchange rate: 1.16891 as at 30 June, 2025 (SimCorp Accounting)
Not for release, publication or distribution in whole or in part in, into or from any jurisdiction where to do so would constitute a violation of the relevant laws of such jurisdiction.
Logo – https://mma.prnewswire.com/media/2724364/Athora_Logo.jpg
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Malaysian Reserve
7 hours ago
- Malaysian Reserve
European savings and retirement services group Athora to acquire Pension Insurance Corporation Group
Ownership of Pension Insurance Corporation Group ('PICG'), ultimate parent company of the specialist insurer of UK defined benefit pension schemes Pension Insurance Corporation ('PIC'), to transition to a single and strategic owner PICG will become the UK insurance business of Athora and continue to operate under the PIC (and penguin) brand, benefitting from increased access to long-term growth capital and enhanced asset origination expertise as part of Athora Acquisition to create a pan-European savings and retirement services champion, establishing a leading position in the UK Pensions market to complement Athora's existing operations in the Netherlands, Belgium, Italy and Germany LONDON, July 3, 2025 /PRNewswire/ — Athora Holding Ltd. (Athora or the Group) and Pension Insurance Corporation Group Limited (PICG), one of the UK's leading pension solutions providers, today announced that Athora and the shareholders of PICG – Reinet Fund S.C.A., F.I.S.; a wholly owned subsidiary of the Abu Dhabi Investment Authority (ADIA); funds managed by CVC Capital Partners (CVC) and HPS Investment Partners (collectively, the Consortium) – have entered into a definitive agreement for Athora to acquire PICG for approximately £5.7 billion. Upon completion, PICG will become Athora's UK insurance business, operating under the Pension Insurance Corporation (PIC) and Penguin brands. Athora is a leading European savings and retirement services business with €76 billion of Assets under Management and Administration (AuMA), serving approximately 2.8 million policyholders. Athora is backed by permanent capital owners, including a strategic minority investment by Apollo Global Management and Athene Holding Ltd, and long term institutional investors such as a wholly owned subsidiary of ADIA. As a result of the transaction, PICG will become Athora's UK subsidiary, maintaining its long tenured team, dedication to customer service, robust capitalisation and disciplined investment philosophy. In addition, PIC is poised to benefit from broader resources, long-term growth capital, and enhanced asset origination capabilities, including in private investment grade credit resulting from Athora's strategic relationship with Apollo. Together, Athora and PIC believe the combination will accelerate scaled, high-grade financing in the UK market, increasing productive investment in the economy and supporting retirement outcomes for pensioners. The acquisition of PICG by the Athora Group will create one of Europe's largest insured savings and retirement services businesses, building on existing subsidiaries in the Netherlands, Italy, Belgium and Germany. Commenting on the acquisition, Mike Wells, Athora's Group Chief Executive Officer, said: 'We are pleased for PICG to become Athora's first UK insurance business, maintaining its great team, brand and utmost commitment to serving its customers. The acquisition by Athora will enhance access to long-term growth capital and asset origination capabilities, enabling PIC to serve more of the UK savings and retirement market, where it has already established itself as a top three provider in pension risk transfer.' Wells continued, 'Today, PIC is a significant investor in the UK economy and, as part of Athora, we believe it will play an even more meaningful role in providing long-duration financing for infrastructure and other long-term assets.' Tracy Blackwell, CEO of PIC, said: 'PIC has had an amazing growth story over the past two decades and is now one of Britain's preeminent pension businesses. This success has been based on a simple purpose, which is to pay the pensions of our current and future policyholders. Athora's investment is validation of what we have always believed: that PIC's reputation, strategy, fortress balance sheet, purpose, and most importantly our people combine to make this a unique business in a huge and growing market. 'With Athora backing us through our next phase of growth as their UK insurance business, we will be able to provide more options to the trustees of defined benefit pension schemes and invest more in the UK economy and infrastructure. The pension risk transfer market is vital to the wellbeing of millions of UK pensioners and the allocation of tens of billions of pounds of investment into the UK's economy. This acquisition and the potential for growth that it represents is, in our view, the strongest possible recognition of the value and importance of the pension risk transfer market, the sector that PIC helped to create and continues to lead.' After adjusting for the acquisition, Athora will have approximately €135[1] billion of AuMA, representing a 78% increase on the year-end 2024 level. The acquisition will be funded primarily by equity as well as long-term bank debt. Pro forma for the transaction, Athora expects to maintain solvency ratio above its target levels. The proposed transaction is expected to close in early 2026. Completion of the transaction is contingent upon satisfaction of customary closing conditions, including regulatory approvals from the PRA. About PIC: The purpose of PIC is to pay the pensions of its current and future policyholders. PIC provides secure retirement incomes through comprehensive risk management and excellence in asset and liability management, as well as exceptional customer service. At year end 2024, PIC had insured 400,000 pension scheme members and had a portfolio of £50.9 billion, accumulated through the provision of tailored pension insurance buyouts and buy-ins to the trustees and sponsors of UK defined benefit pension schemes. PIC has made total pension payments of £16.2 billion to its policyholders and has invested £13.8 billion in UK private investments, including housing and infrastructure, creating considerable social value. Clients include FTSE 100 companies, multinationals and the public sector. PIC is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and Prudential Regulation Authority (FRN 454345). For further information please visit About Athora: Since inception in 2018, Athora has grown to be one of the leading savings and retirement services providers in continental Europe. Athora has primary insurance operations in the Netherlands, Belgium, Germany and Italy. As of year-end 2024, Athora's AuMA totalled €76 billion, representing the savings of 2.8 million customers. Athora has completed seven M&A transactions, alongside nine Pension Risk Transfer transactions in the Netherlands. Athora has a strong track record of providing attractive outcomes for its customers, reflecting the merits of its business model and access to differentiated investment capabilities through a strategic partnership with Apollo Global Management. Disclaimer: This press release contains inside information within the meaning of Article 7(1) of the EU Market Abuse Regulation (Regulation 596/2014). For the purposes of Market Abuse Regulation (EU) 596/2014 and Article 2 of Commission Implementing Regulation (EU) 2016/1055, this announcement is made by Ben Adams, Director of External Communications for Athora Holding Limited. Certain information contained herein may be 'forward-looking' in nature. Due to various risks and uncertainties, actual events or results or actual performance may differ materially from those reflected or contemplated in such forward-looking information. As such, undue reliance should not be placed on such information. Forward-looking statements may be identified by the use of terminology including, but not limited to, 'may,' 'will,' 'should,' 'expect,' 'anticipate,' 'target,' 'project,' 'estimate,' 'intend,' 'continue' or 'believe' or the negatives thereof or other variations thereon or comparable terminology. [1] GBP/EUR exchange rate: 1.16891 as at 30 June, 2025 (SimCorp Accounting) Not for release, publication or distribution in whole or in part in, into or from any jurisdiction where to do so would constitute a violation of the relevant laws of such jurisdiction. Logo –
The Sun
10 hours ago
- The Sun
EU chief says Brussels ‘ready' for US trade deal ahead of talks
AARHUS: The EU is 'ready for a deal' with the United States, European Commission president Ursula von der Leyen said Thursday before negotiators meet in Washington before a July 9 deadline. EU trade chief Maros Sefcovic is in Washington and due to meet his US counterparts later Thursday. The commission, leading trade policy for the 27-nation bloc, has until Wednesday next week to strike an agreement or see President Donald Trump's sweeping tariffs snap back. If no deal is reached, the default tariff on EU imports is expected to double to 20 percent or even higher -- Trump having at one point threatened 50 percent. 'We are aiming at the ninth of July,' von der Leyen told reporters in Aarhus, Denmark. 'It's a huge task because we have the largest trade volume globally between the European Union and the United States,' worth 1.5 trillion euros ($1.8 trillion). 'What we are aiming at is an agreement in principle,' she added. The size of trade between the two transatlantic allies meant an agreement in detail was 'impossible' to conclude in the 90-day window ending next week, she added. Von der Leyen's comments came as German Chancellor Friedrich Merz reiterated his call for a 'quick and simple' EU deal with Washington -- a matter of necessity for key industries from pharmaceuticals to engineering and automobiles. The EU chief also made it clear that Brussels would not hold back from taking countermeasures to protect the European economy if talks fell short. 'We want a negotiated solution, but you all know that at the same time, we're preparing for the possibility that no satisfactory agreement is reached,' she said. 'This is why we consulted on a rebalancing list, and we will defend the European interest as needed,' she added. 'In other words, all the interim instruments are on the table.' The EU has prepared counter-tariffs on US goods worth around 100 billion euros if talks yield no positive outcome. – AFP
The Star
11 hours ago
- The Star
Explainer-Do international carbon credits fight climate change?
FILE PHOTO: A coal-fired power station scheduled to shut down is seen in As Pontes, Spain, February 8, 2022. Picture taken February 8, 2022. REUTERS/Miguel Vidal/File Photo BRUSSELS (Reuters) -The European Commission has proposed an EU climate target for 2040 that allows countries to count carbon credits bought from developing nations towards the EU goal for the first time. Here's what that means, and why the EU move on Wednesday faced criticism from campaigners and some scientists. WHAT ARE CARBON CREDITS? Carbon credits, or offsets, involve funding projects that reduce CO2 emissions abroad in place of cuts to your own greenhouse gas emissions. Examples include forest restoration in Brazil, or converting a city's petrol buses to electric. The buyer counts "credits" for those emission reductions towards its climate goal, and the seller gets finance for their green project. Proponents say the system generates much-needed funding for CO2-cutting efforts in developing nations and lets countries work together to cut emissions around the world. However, the reputation of CO2 credits has been dented by a string of scandals in which credit-generating projects failed to deliver the climate benefits they claimed. WHY IS THE EU BUYING THEM? The European Commission proposed allowing up to 3 percentage points of the EU's 2040 target - to cut net emissions by 90% from 1990 levels - to be covered by carbon credits bought from other countries. The EU's existing climate targets require countries to meet the goals entirely by cutting emissions at home. The bloc's executive Commission said last year it hoped the EU could agree a 90% emissions-cutting target for 2040, with no mention of carbon credits. Tumultuous geopolitics and the economic woes of European industries have since stoked political pushback, with governments from Germany to Poland demanding a softer target. In response, the Commission said it would add flexibilities, and landed on carbon credits as a way to retain a 90% emissions-cutting goal while reducing the domestic steps needed to reach it. EU countries and the European Parliament must negotiate and approve the goal. WHAT ARE THE RISKS? The EU plan was welcomed by countries including Germany, which had pushed to include carbon credits in the goal, and by carbon credit project developers as a boost for climate finance. But environmental campaigners said the EU was shirking domestic CO2-cutting efforts and warned against relying on cheap, low-value credits. The EU's climate science advisers had also opposed buying credits under the 2040 target, which they said would divert money from investments in local clean industries. The EU banned international credits from its own carbon market after a flood of cheap credits with weak environmental benefits contributed to a carbon price crash. To try to address the risks, the Commission said it would buy credits in line with a global market and rules for trading carbon credits which the U.N. is developing. These include quality standards aimed at avoiding the problems that unregulated credit trading has faced in recent years. Brussels will also propose rules next year on specific quality standards for the carbon credits the EU buys. HOW MUCH WILL IT COST? The EU doesn't yet know. Carbon credit prices today can be as low as a few dollars per tonne of CO2, up to more than $100, depending on the project. EU emissions records suggest the bloc would need to buy at least 140 million tonnes of CO2 emissions to cover 3% of the 2040 target, roughly equivalent to the Netherlands' total emissions last year. One senior Commission official said the bloc was determined not to hoover up cheap junk credits. "I don't think that would have any additional value. The credits we see currently on voluntary carbon markets are very, very cheap, and that probably reflects a lack of high environmental integrity," the senior official said. (Reporting by Kate Abnett; additional reporting by Virginia Furness; editing by Philippa Fletcher)
