The Abu Dhabi Investment Authority (ADIA) has agreed to acquire a 21.4% stake in Pension Insurance Corporation Group from funds advised by private equity firm J.C. Flowers & Co.
The acquisition will be carried out by ADIA’s private equity department (PED).
Pension Insurance Corp. Group is the parent company of Pension Insurance Corp (PIC) which operates as a specialist insurer and delivers bulk annuities to UK corporate pension schemes.
PIC manages over £25bn in financial assets and supports the benefits of more than 150,000 individuals.
ADIA executive director of the private equity department Hamad Shahwan Aldhaheri said: “This investment is a further demonstration of our ongoing strategy to seek out principal investments in market-leading businesses with strong management teams.
“PIC has proven its ability to respond to the growing trend for UK companies to derisk their defined benefit pension obligations and, as such, has strengthened its position as one of the industry’s leading pension insurance providers.”
J.C. Flowers Europe managing director in charge Tim Hanford said: “As a founding investor in PIC, we have supported the company on its path to becoming a leader in the growing UK bulk annuity sector. We are delighted to see them starting a new partnership with ADIA and are very confident that the company will continue on its successful journey with this new support.”