Standard Life plc agreed on 15 April to buy Aegon UK, the British insurance and pensions business of Aegon, for £2.0bn in cash and shares.
Why Standard Life plc is buying Aegon UK plc
Standard Life said the deal makes it the UK's largest retirement savings and income business, with about 16 million customers and £480bn of assets under administration, and the second-largest workplace and retail pensions platform. It expects the acquisition to add about £160m a year to operating cash generation and about £190m to adjusted operating profit, and to lift earnings per share by a mid-single-digit percentage by 2029.
Deal terms and financing
Standard Life pays £750m in cash at completion, funded by £650m of debt raised beforehand plus existing cash, with a £750m bridge loan in reserve. It also issues 181.1 million shares to Aegon, priced off a 30-day average of 690p, giving Aegon about 15.3% of the enlarged group. The price equals 0.83 times Aegon UK's unrestricted tier 1 capital of £2.4bn at the end of 2025.
Regulatory approvals and timing
The deal requires antitrust and financial regulatory approvals. Completion is expected around the end of 2026, with a long-stop date of 15 April 2027.
Market context
Aegon UK has about £74bn of workplace and £86bn of retail assets under administration. Aegon will act as a strategic shareholder and asset management partner of the enlarged group.
