Standard Life to acquire Aegon UK in £2bn deal

Standard Life has entered into an agreement to acquire Aegon UK's insurance and pensions operations in a deal worth £2 billion.

Standard Life says the purchase will create the UK's largest retirement savings and income business.

The enlarged group will have 16m customers and assets under administration of c.£480bn.

Standard Life says the acquisition will also 'transform its adviser offering' by securing Aegon's established platform.

Andy Briggs, Group CEO of Standard Life, said: "Our agreement to acquire Aegon UK significantly accelerates our vision to be the UK's leading retirement savings and income business. We will be in an even stronger position to meet the evolving needs of our 16 million customers with enhanced digital, advice and distribution capabilities across workplace and retail, strengthening our standing in one of the world's most attractive markets. Furthermore, the transaction accelerates our shift to capital-light whilst strengthening our cash, capital and earnings position to create increased value for shareholders.

"With financial wellbeing at the heart of everything it does, Aegon UK's values and culture are aligned with our own. Together, we will not only be stronger, we will be better - helping our customers achieve better outcomes and greater financial security in later life. I look forward to welcoming everyone at Aegon UK to Standard Life in due course and working together to capture the huge potential in front of us."

Lard Friese, Aegon CEO, commented: "Standard Life is the right owner for Aegon UK: we share the same values and a strong commitment to customers, and together the businesses will create the UK's largest retirement savings and income provider. The businesses are complementary and the combination offers an excellent outcome for Aegon UK's customers and colleagues. Aegon's shareholding will provide an opportunity to participate in the future success of the enlarged group."