Acquisition
6 November 2026
CHESNARA plc
("Chesnara" or "the Company")
ACQUISITION OF CLOSED LIFE COMPANY FROM METLIFE
Chesnara, the European life and pensions consolidator, today announces it has reached an agreement with MetLife, Inc. ("MetLife Group") to acquire 100% of the share capital of its closed-book UK life insurance company, MetLife UK Limited (“MLUK”) (collectively, the “Proposed Transaction”).
The Proposed Transaction relates solely to MLUK’s closed book; MetLife’s ongoing UK protection business is not included and MetLife continues to service these customers in the UK.
Key highlights of the Proposed Transaction:
- Adds further scale to Chesnara’s UK business; MLUK manages approximately 18,000 customer policies with £1.7bn of Assets under Administration
- Attractive returns for investors with lifetime cashflows of approximately £90m, of which around half are expected to emerge in the first 5 years post completion
- At completion and under Chesnara’s ownership and target operating model, the transaction is expected to be accretive to both Own Funds and Contractual Service Margin (“CSM”) by approximately £45m
- Consideration payable for the transaction is subject to customary adjustments at completion and is not expected to be material
- Administration of the book already outsourced to SS&C Technologies, Chesnara’s existing UK partner
- Chesnara Group Solvency II ratio impact estimated to be broadly neutral
- Chesnara’s 4th announced transaction in the last 2 years, anticipated to complete in H1 2027 subject to UK regulatory approval
Steve Murray, Group Chief Executive of Chesnara, commented:
“We are pleased to announce our 4th acquisition in the last two years. The transaction adds further scale and diversification to our UK business as well as an estimated £90m of lifetime cashflows. MLUK’s closed-book portfolio is an excellent fit with our existing UK operations and, with its administration provided by SS&C, already closely aligns with our operating model. The transaction is a further demonstration that Chesnara is a consolidation partner of choice for blue-chip counterparties. We continue to see a healthy pipeline of M&A opportunities and are highly confident in our ability to continue to execute transactions on attractive terms for our investors”.
Additional background on the Proposed Transaction:
MLUK closed to new business in 2017 and currently manages a portfolio of unit-linked investment policies with optional guarantees and variable annuities for approximately 18,000 customers, with £1.7bn of assets under administration as at 31 December 2025. MLUK has an existing external reinsurance arrangement with a European reinsurer that is rated AA by both S&P and Fitch. This reinsurance arrangement provides cover for the guarantee risk associated with MLUK’s in-force variable annuity portfolio and will remain in place following completion of the Proposed Transaction. The policies of MLUK are presently administered by SS&C Chesnara's existing strategic UK outsourcing partner, aligning closely with Chesnara’s operating model and facilitating a smooth transition of the portfolio to Chesnara.
The Proposed Transaction will add further scale to Chesnara's UK business and is expected to generate total lifetime cash flows of approximately £90 million, around half of which is expected to emerge in the first five years post completion. At completion and under Chesnara’s ownership and target operating model, the transaction is expected to increase Own Funds and CSM by approximately £45m and to have a broadly neutral impact on Chesnara’s Solvency II ratio with the final impacts to be determined at completion, subject to customary adjustments for a transaction of this nature.
The transaction is expected to complete during the first half of 2027, subject to customary regulatory approvals.
Chesnara was advised by Fenchurch Advisory Partners, PricewaterhouseCoopers LLP, and Slaughter and May.
Analyst and investor call
Chesnara will host a conference call for analysts and investors on Friday 6th November at 8.30am GMT.
Dial-in details: UK-Wide: +44 (0) 33 0551 0200; UK Toll Free: 0808 109 0700
Please quote “Chesnara” when prompted by the operator. Participants are requested to dial in 5 minutes before the scheduled start time.
For further information, please contact:
Investor Enquiries
Sam Perowne
Head of Strategic Development & Investor Relations
Chesnara plc
E - sam.perowne@chesnara.co.uk
Media Enquiries
Misha Bayliss
Teneo
T - 020 7427 5465
E – chesnara@teneo.com
Notes to Editors
Chesnara (CSN.L) is a FTSE 250 European life, pensions and investment company with specialist expertise in consolidation. Chesnara now administers c1.3m policies across its business units of Countrywide Assured and Chesnara Life (formerly HSBC Life) in the UK, Scildon in the Netherlands and Movestic in Sweden. In addition, Chesnara announced the proposed acquisition of Scottish Widows Europe in Luxembourg which will add approximately 46,000 in-force policies to the Group with closing subject to customary regulatory approval which is ongoing.
Following a three-pillar strategy, Chesnara's primary responsibility is the efficient administration of its customers' life and savings policies, ensuring good customer outcomes and providing a secure and compliant environment to protect policyholder interests. It also adds value by writing focused, profitable new business in the UK, Sweden and the Netherlands and by undertaking value-adding acquisitions of either companies or portfolios.
Consistent delivery of the Company strategy has enabled Chesnara to increase its dividends for 21 years in succession. Further details are available on the Company's website (www.chesnara.co.uk).
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