Life assurance provider Lombard International Group has agreed to sell its US and Bermuda business to alternative fixed income manager BroadRiver Asset Management and its affiliated entities.
The firm said there will be no impact on clients’ policies as a result of the deal.
The transaction is subject to customary closing conditions, including regulatory approvals and is expected to complete by mid-2023. The financial terms of the deal were not disclosed.
Lombard International Group said it “will remain focused on growing its strong businesses in Europe, including serving the wealth hubs of Asia and Latin America via its European carriers”.
Stuart Parkinson, group chief executive of Lombard International, said: “BroadRiver is taking stewardship of an excellent asset with great future potential. This new investment will enable the US and Bermuda business to leverage its strong track record and focus on growing the business further. I am confident BroadRiver will be an excellent owner of Lombard International US.
“In Europe, as the largest provider of insurance-based wealth, estate and succession planning solutions, our sights remain set on further growth and continued market expansion. We are a leading, internationally diverse company with experienced wealth structuring specialists, subject matter and technical experts serving over 20 markets and speaking over 30 languages.
“At the forefront of sector innovation, driven by continued investments in digitalisation and connectivity with our partners, the business is well positioned to seize the market opportunities ahead.”
Background
This comes over a year after International Adviser reported that private equity firm Blackstone was looking to sell Lombard International.
Then in March 2021, New York-listed Kingswood Acquisition Corp was reportedly looking to merge with the wealth solutions provider.
Several months later, media reports said Italian prosecutors in Milan were investigating Luxembourg-headquartered Lombard International. At the time, Italian newspaper Il Sole 24 Ore, said that the firm was facing allegations of tax evasion and money laundering.
