Earlier this week industry veteran Mark Hodges was named incoming chief executive of closed book business ReAssure… now the Swiss Re unit has secured further investment from minority shareholder MS&AD Insurance Group Holdings, Inc.
The Japanese insurance group has agreed to invest an additional £315 million in ReAssure – upping its current shareholding of 15% to 25% upon completion of the transaction.
According to today’s announcement by Swiss Re, the investment demonstrates MS&AD’s appreciation of ReAssure’s strong franchise. The UK closed life book consolidator is looking at a possible initial public offering (IPO) next year.
“As we continue to work towards the potential IPO of ReAssure in 2019, the increase of MS&AD’s stake to 25% is a strong vote of confidence from our minority shareholder and long-term partner,” said Thierry Léger, CEO of Swiss Re Life Capital.
“We are delighted to have them as investors alongside us and together we remain committed to supporting ReAssure in its strategy of leading the way in UK life and pensions consolidation.”