Goldman Sachs sells final stake in £2bn Rothesay Life as Blackstone and Singapore's GIC take control


Goldman Sachs launched Rothesay Life in 2007 (Source: Getty)

Goldman Sachs has sold its remaining stake in Rothesay Life in a deal that values the firm at around £2bn.

The sale of Goldman's 32.7 per cent stake to a trio of current investors caps the Wall Street giant's exit from the life insurer it set up 10 years ago.

US buyout firm Blackstone and Singapore's sovereign wealth fund GIC (both of which previously owned 28.5 per cent) paid an undisclosed sum alongside life insurer MassMutual (which owned seven per cent prior to the deal).

Sky News reported on Friday the three investors would hand over hundreds of millions in a deal that value Rothesay at £2bn. A spokesperson for the company said today that the firm's 2016 accounts gave the firm an implied valuation of £2.2bn.

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Goldman spun-off Rothesay Life in 2007. It is one of a handful of leading players in the UK's lucrative insurance buyout market.

Rivals include the likes of L&G and the Pensions Insurance Corporation. Such firms provide solutions to pension schemes some of Britain's largest firms. Services include pension buy-ins – where defined benefit schemes are partially de-risked – or buy-outs – where aggregators take on full responsibility of member payouts.

Read more: Rothesay gets new top brass in the boardroom