AXA UK announced today that it had entered into an agreement with Phoenix Group Holdings to sell its (non-platform) investment and pensions business and its direct protection business (“SunLife”). Completion of the transaction is subject to customary closing conditions, including the receipt of regulatory approvals.
Together with the previous two announced transactions, the overall consideration for the sale of the entire UK Life & Savings business would amount to ca. Euro 0.8 billion.
AXA’s UK Life and Savings business is composed of AXA Wealth and SunLife. The wealth business has completed an impressive transformation, moving from a loss-making business when it formed in 2010, to a profitable one today. Over the last five years, AXA Wealth has more than tripled its assets under management from £15 billion to over £46 billion through its business portfolio which incorporates a number of market-leading operations in the segments in which they operate. SunLife is the market leader in the Over-50 protection market and achieved £152 million gross written premiums in 2015, having refreshed its brand to focus on bringing straightforward and affordable products to a wider customer market.
The business turnaround has given AXA UK optionality which led to the announcements of its decision to deploy Architas across AXA’s European life and savings businesses, and that it has agreed to sell its (non-platform) pension and investment business and SunLife to Phoenix, AXA Wealth International to LCCG and Elevate to Standard Life.
Paul Evans, Chief Executive Officer, AXA UK & Ireland
“I’m pleased to confirm the sale of the remaining part of our UK Life and Savings businesses to Phoenix Group Holdings.
“I would like to warmly thank the UK life & savings teams in AXA Wealth and SunLife who have accomplished so much over recent years. They can be very proud of what they have achieved, and I wish them all the very best for the future.”