(Reuters) – UK insurer Phoenix Group announced on Tuesday that it was selling its Dublin-based Ark Life Assurance to Irish Life Group for € 230 million ($ 272.73 million) in a bid to streamline its European operations.
Ark Life, which manages inheritance savings and protection products in Ireland with assets under management of £ 1.8 billion, was acquired by Phoenix as part of Swiss Re’s £ 3.2 billion ReAssure acquisition last year.
The Phoenix, listed on the FTSE 100, said the deal would simplify its European operations and accelerate the release of cash from the business, adding that it is expected to reallocate capital into higher-yielding growth options.
Phoenix said last month it was no longer in talks to sell its European businesses after Sky News reported a possible sale of around £ 550 million to European Life Group.
The sale of Ark Life will leave Phoenix out of the European business with Standard Life International, which was brought under Phoenix in 2018 following the acquisition of the insurance business of Standard Life Aberdeen, now abrdn, in 2018.
($ 1 = 0.8433 euros)
Reporting by Muvija M in Bengaluru; Editing by Vinay Dwivedi
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