London-based Utmost Group has confirmed that it has received all necessary regulatory approvals to proceed with its acquisition of Luxembourg-based Lombard International Assurance Holdings. The transaction, per an on Wednesday 11 December 2024, is set to be completed on 30 December 2024, after which Lombard International will become part of Utmost International, the group’s international life assurance division.
This acquisition brings together two major players in the insurance-based wealth solutions market, with the aim of strengthening Utmost’s position in key European markets. The deal is expected to provide a robust platform to meet the long-term financial needs of its clients, combining the strengths of both businesses.
Paul Thompson, CEO of Utmost Group, commented on the acquisition, calling it a “transformational” step for the group. He expressed confidence that the acquisition would enhance Utmost’s geographic footprint, client offerings and market knowledge, thus strengthening the company’s ability to execute its strategy. Thompson also added that he was optimistic about the future and excited to welcome Lombard International’s employees, clients, and partners to Utmost Group.
The acquisition is set to create a more prominent player in the wealth solutions sector, particularly in Europe. As of 30 June 2024, on a pro-forma basis, Utmost International would have had over €120bn in assets under administration and around 500,000 policyholders post-acquisition.
Operational integration
Following completion of the deal, Utmost will begin integrating Lombard International into its operations. Lombard International will continue to operate from Luxembourg, maintaining its existing suite of products. These products will be distributed under the Utmost brand by a single, unified global salesforce, while retaining the combined group's distribution models.
Utmost has emphasised that its capital strength will remain robust upon the completion of the acquisition. The group plans to continue operating with financial discipline, ensuring balance sheet resilience and flexibility, while focusing on growth and operational efficiency. The acquisition has also been positively assessed by Fitch Ratings, which has confirmed an expected rating of A+ for Lombard International, contingent upon the completion of the deal. This rating aligns with Utmost Group’s other rated insurance entities.
Market position
Utmost Group is already responsible for £64.7bn of primarily unit-linked policyholder assets. The group serves over 475,000 policyholders through its businesses, Utmost International and Utmost Life and Pensions. The addition of Lombard International’s portfolio will further solidify Utmost’s position as a major player in the insurance and wealth management sector.
Upon completion of the transaction, Utmost will be in an even stronger position to offer a broad range of products to its clients across Europe, the UK, Latin America, Asia and the Middle East, stated the press release.