Business
Great-West Lifeco's U.K. subsidiary announces sale of heritage policies
Great-West Lifeco's U.K. subsidiary announces sale of heritage policies Canada New...
About this update from Great-west Lifeco Inc.
[{"type":"text","content":"\n\n\n\nGreat-West Lifeco's U.K. subsidiary announces sale of heritage policies\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n\n\n\n\n\n\n\nCanada NewsWire\nWINNIPEG, June 21, 2018\n\n\n\nTSX:GWO\n\n\n\nWINNIPEG, June 21, 2018 /CNW/ - Great-West Lifeco Inc. announced today that its U.K. subsidiary, Canada Life Limited, has agreed to sell a block of 155,000 heritage policies with assets and liabilities of £2.7 billion (C$4.7 billion) to Scottish Friendly. Scottish Friendly has agreed to an arrangement under which Canada Life Investments will continue to manage a substantial portion of the transferring unit-linked assets. The financial terms of the transaction were not disclosed. \n\nThe policies have largely been closed to new business since 2003 and comprise individual life savings policies, individual pensions savings policies and individual protection policies. The transfer of these policies to Scottish Friendly, which is expected to occur in late 2019, is not expected to have a material impact on Canada Life's earnings or ongoing U.K. business activities.\n\n\"This is an excellent move for both organizations and for customers,\" said Doug Brown, Chief Executive Officer, Canada Life U.K. \"Our priority is ensuring that our transferring customers receive the highest standard of care both during this transition period, and beyond. Scottish Friendly has a great reputation in this area which gives us confidence that they will be in good hands.\"\n\n\"This transaction enables Canada Life to concentrate on growing our business in the U.K., including the development of a full range of products in the U.K. retirement income market, building on our recent acquisition of Retirement Advantage,\" said Paul Mahon, President and Chief Executive Officer, Great-West Lifeco. \n\nThe transaction is subject to regulatory approval and the satisfactory completion of certain closing conditions.  The actual transfer of policies will primarily take place via a court approved transfer under Part VII of the Financial Services Markets Act 2000. \n\nAbout Canada Life LimitedCanada Life Limit...