Utmost Group plc has confirmed it has received all necessary regulatory approvals to complete its acquisition of Lombard International Assurance Holdings Sarl.
The transaction, expected to close on December 30, 2024, will see Lombard International integrated into Utmost International, the life assurance division of Utmost Group.
Utmost said that this major deal aligns with the group’s strategy to strengthen its position in key European markets and expand its capacity to meet the long-term financial needs of its clients.
Following completion of the deal, Lombard International will continue operating from Luxembourg, maintaining its existing suite of products. These products will be distributed under the Utmost brand by a consolidated global salesforce, alongside Utmost International’s current offerings.
The integration, announced earlier this year, will also retain the combined group’s existing distribution models while leveraging synergies in product offerings and partner relationships.
Paul Thompson (pictured above), CEO of Utmost Group, described the acquisition as a significant milestone that would enhance the group’s geographic presence, client offerings, and local market expertise.
“We have bold strategic ambitions for our business, and I am confident that we are well placed to serve our clients’ long-term financial needs and deliver long-term value to our people and shareholders. I am excited by our future prospects and look forward to welcoming Lombard International’s employees, clients, and partners to Utmost Group,” he said.
As of June 30, 2024, the combined Utmost-Lombard entity would have over £100 billion in assets under administration and serve approximately 210,000 policyholders.
In line with this, Fitch Ratings has provisionally assigned an Insurer Financial Strength (IFS) rating of ‘A+’ to Lombard International, matching the ratings of other Utmost Group insurance entities.
Utmost Group also provided an updated financial overview. On a pro forma basis as of the mid-year, the group managed £108.9 billion in assets under administration, recorded £2.6 billion in gross flows for the first half of 2024, and maintained group own funds of £2,690 million.
The group’s solvency capital requirement (SCR) coverage stood at 180%, with a Net Solvency II Embedded Value (Net SII EV) of £2,350 million and shareholders’ own funds of £1,990 million.
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