Cinven, the international private equity firm, today announces that it has reached an agreement to acquire International Financial Group Limited (‘IFGL’), a leading life insurance provider of cross-border, long-term savings products for internationally mobile clients. IFGL has £19 billion of assets under administration and operates through three principal brands: RL360, Ardan International and Friends Provident International. Financial details of the transaction are not disclosed.
IFGL was established in October 2013 to support the management buyout of RL360 from Royal London Group. Since then, IFGL has demonstrated a consistent track record of profitable growth, including through its buy-and-build strategy, having acquired Clerical Medical International in 2015, Ardan International in 2016 and Friends Provident International Limited from Aviva in 2020.
Headquartered in the Isle of Man, IFGL has a global footprint and employs more than 550 people. It provides insurance-wrapped investment solutions to an international client base and focuses on enabling individuals to meet their long-term savings objectives. IFGL’s products are distributed by independent financial advisers around the world.
Cinven believes that IFGL is an attractive investment opportunity based on:
- Its high quality, cash and capital-generative business model, that delivers predictable long-term profits, with significant downside protection;
- Its proven financial track record of consistent and profitable growth, including a robust performance through the COVID-19 pandemic;
- A leading market position, underpinned by an established and well-respected new business franchise that is well diversified geographically;
- Its successful M&A track record, with further buy-and-build potential;
- The significant opportunity to widen its product offering to a broader range of international clients;
- Its clear strategy to continue using technology to drive sales and optimise IFGL’s operating model; and
- An exceptional management and leadership team led by CEO, David Kneeshaw.
IFGL represents the third investment from Cinven’s long-term Financial Services-focused strategy.
Luigi Sbrozzi, Partner at Cinven, commented:
“Cinven is delighted to be investing in IFGL. IFGL is an established insurer with a strong market position. It has a large back book, which sits alongside an established new business franchise that is well diversified geographically. The Cinven team knows the market well through its previous life insurance investments, including Guardian in the UK and Viridium in Germany, and has a strong track record of working with companies in the sector to achieve strong growth, in particular, through buy-and-build as well as further product development and internationalisation.”
David Kneeshaw, Group, CEO, IFGL, said:
“This investment by Cinven will accelerate the Group’s ambitious plans for growth. Cinven shares our vision for the future and we are now ideally placed to expand significantly through both organic and new market growth and through further M&A activity. We now look ahead to what will be a hugely exciting new period for IFGL.”
The investment in IFGL builds on Cinven’s strong Financial Services franchise in Europe. Notably, Cinven Funds currently own several investments in the insurance sector, including: Compre, a specialist global consolidator of closed books of non-life insurance policies; Miller, a leading specialist insurance and reinsurance broker; and Viridium, a German specialist consolidator of closed life insurance books. Cinven Funds also own investments in other segments of the European Financial Services sector, including True Potential, NewDay and Premium Credit. Previous investments in the European insurance sector include Guardian Financial Services in the UK and other financial services investments by Cinven Funds include Partnership Assurance and Avolon.