Phoenix to buy Swiss Re's ReAssure unit for $4.1 billion

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Phoenix to buy Swiss Re's ReAssure unit for $4.1 billion
France Dernières Nouvelles,France Actualités
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Insurance group Phoenix Group Holdings said it had agreed to buy the British uni...

) are among a group of large insurers with substantial legacy books of insurance business that analysts have speculated could hit the market. The pipeline for large bulk deals is also strong.

Swiss Re said it would get a cash payment of 1.2 billion pounds and a stake in Phoenix of 13% to 17%. ReAssure’s minority shareholder, MS&AD Insurance Group Holdings Inc , will receive shares in Phoenix representing an 11% to 15% stake. Swiss Re estimated the transaction, expected to close in mid-2020, would have a positive impact on its Group Swiss Solvency Test ratio and economic profit and a negative impact on its US GAAP results in the fourth quarter of 2019.

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