Utmost Group to acquire Lombard International Assurance Holdings

Utmost Group plc has agreed to acquire Lombard International Assurance Holdings Sarl, subject to regulatory approvals. The acquisition, which is expected to be completed by the end of 2024, includes Lombards' European business, as Lombard International will become part of Utmost International, the international life insurance business of Utmost Group.

This acquisition aligns with Utmost Internationals' strategic plan to be a leading global provider of international life insurance as it strengthens the firm's position in key markets across Europe, fir said.

The deal also combines two large-scale businesses with closely aligned operating models, adding $43 billion in assets under administration and over 20,000 policies to Utmost International. On a combined basis at the end of 2023, Utmost International would have $100 billion in assets under administration and over 210,000 policies and would have written $6.4 billion in new business.

Paul Thompson, Chief Executive, Utmost Group, commented: “The acquisition of Lombard International marks an exciting milestone in the Utmosts journey, strengthening our European position and establishing us as a leading global provider of insurance-based wealth solutions. The combined strength of the merged Utmost International and Lombard International gives the Group added scale. This will enable us to better serve our expanded international customer base and distribution partners, leveraging deep market knowledge, strong technical expertise and a broader product portfolio.

“The addition of Lombard International is highly complementary to Utmosts' previous transaction – the acquisition of Quilter International completed in November 2021 – which strengthened our presence in the UK and Asia. Lombard Internationals established networks in Europe will enhance Utmosts global credentials and enable us to better serve our customers and partners, delivering long-term value to our people and shareholders. I look forward to welcoming Lombard Internationals people, customers and partners to Utmost and working closely with Lombard International's leadership to complete this transaction.”

Lombard International will continue to operate from Luxembourg with the existing suite of products, which will be distributed under the Utmost brand. The pair will operate as a single combined global sales force, maintaining the existing distribution models of the combined groups.

The increased scale achieved through the acquisition will enable the group to maintain a strong capital strength. The total amount will be financed through a bank loan of 200 million euros, with the remainder covered by existing cash reserves.

Stuart Parkinson, Chief Executive of Lombard International Group said: “This acquisition marks a new and exciting chapter for Lombard International, ushering in a period of enhanced opportunities for our customers, partners and employees. The combined group will provide unparalleled services and expertise to support the evolving wealth planning needs of our clients.

“The strategic alignment of Lombard International and Utmost, with a single-minded focus on growth and customer centricity, will enable the combined entity to continue on its growth trajectory and capitalize on the opportunities that lie ahead.

Florent Albert, Managing Director of Lombard International Assurance, concluded, “I am delighted that Lombard International will be joining Utmost. Utmost have established themselves as a leader in the insurance-based wealth sector and I am confident that they will be excellent stewards of Lombard International's clients, partners and employees. I look forward to working closely with Paul, Ian and the rest of the Utmost management team to bring Lombard International into Utmost International.”