Tuesday 18 May 2021 8:33 am

Phoenix confirms talks 'ongoing' to sell European business in £550m deal

Life insurance consolidator Phoenix Group has confirmed it is in discussions to sell its European businesses, in a deal reportedly worth £550m.

The group – which bought out the majority of Standard Life Aberdeen’s insurance business in 2018 – said that talks were ongoing and there was no certainty a deal will be struck.

In a statement, Phoenix said: “The board of Phoenix Group Holdings plc notes the recent press speculation regarding the potential sale of its European businesses and confirms that it is now in advanced discussions in respect of a potential sale.

“A sale of the European businesses will only be considered if it maximises value for shareholders.

“Discussions are on-going and there can be no certainty that any transaction will be agreed.”

The statements followed a Sky News report that Phoenix Group was finalising the details of a sale to European Life Group Holding (ELG), a privately owned vehicle backed by the US-based fund Sixth Street.

Sky said that a deal – worth about £550m – could be announced as early as this week.