OP-Pohjola Group's central institution, OP-Pohjola Group Central Cooperative, will acquire Skandia Life Finland's business from Skandia Life Assurance Company Ltd, a subsidiary of Old Mutual plc. The acquisition will be completed on or about 30 June 2012, provided that the required regulatory approvals can be gained within these timescales.
The acquisition will involve the transfer to OP-Pohjola of some 100,000 customers' unit-linked life and pension policies with with total assets of around 1.3 billion euros (unaudited) as of 30 September 2011.
The acquisition will require no action on Skandia Life customers' part. Following the acquisition, Skandia Life customers will benefit from OP-Pohjola's extensive service network and have the opportunity to use a wide range of financial services and a diverse package of benefits from using OP-Pohjola as their main bank and insurer.
- We were very interested when we became aware that Skandia was intending to exit the Finnish market, as we saw this as an opportunity to expand our service proposition to Finnish customers. The acquiree's focus on the asset management business is in line with our Group's strategy. Moreover, this deal will bring us a number of new customers, says Jarmo Kuisma, Managing Director of OP Life Assurance Company Ltd.
- We are very pleased to have reached this agreement with OP-Pohjola as we believe it is in the best interests of our customers. Old Mutual's decision to sell its Finnish operations is driven by its strategic priority to streamline and simplify its structure. Skandia Life Finland is a profitable operation which is expected to continue to thrive within the OP-Pohjola Group. We look forward to working with OP-Pohjola to ensure a smooth transfer of the business with minimal disruption for our customers, says Jyrki Thauvon, Skandia Life Finland's appointed head agent.
For more information, please contact
Jarmo Kuisma, Managing Director, OP Life Assurance Company Ltd, tel. +358 (0)10 252 7891
Karri Alameri, Chief Investment Officer, OP Life Assurance Company Ltd, tel. +358 (0)10 252 8384
About OP-Pohjola Group
OP-Pohjola Group is Finland's leading financial services group providing a unique range of banking, investment and insurance services. The Group has the mission of promoting the sustainable prosperity, well-being and security of its owner-members, customers and operating regions through its local presence. Its objective is to offer the best and most versatile package of loyal customer benefits on the market. OP-Pohjola Group consists of some 200 Group member banks and the Group's central institution OP-Pohjola Group Central Cooperative with its subsidiaries and closely related companies, the largest of which is the listed company Pohjola Bank plc.
About Old Mutual plc
Old Mutual is an international long-term savings, protection and investment Group. Originating in South Africa in 1845, the Group provides life assurance, asset management, banking and general insurance to more than 15 million customers in Europe, the Americas, Africa and Asia. Old Mutual is listed on the London Stock Exchange and the Johannesburg Stock Exchange, among others.
In the year ended 31 December 2010, the Group reported adjusted operating profit before tax of £1.5 billion (on an IFRS basis) and had £309 billion of funds under management from core operations, and shareholders' equity of £9.0 billion.