Key Factors
- Reinet, managed by Johann Rupert, is in talks to promote its 49.5% stake in Pension Insurance coverage Company for as much as $6.85 billion.
- Pension Insurance coverage Company is Reinet’s largest holding, accounting for over 53% of its complete internet asset worth.
- The deal would mark Reinet’s second main divestment, following its full exit from British American Tobacco.
Reinet Investments, the Luxembourg-based funding car managed by South Africa’s richest man Johann Rupert, is in discussions to promote its greatest asset, Pension Insurance coverage Company Group, in a deal that might fetch as a lot as £5 billion ($6.85 billion). Based on stories, retirement providers group Athora is in talks to accumulate the UK-based insurer.
Reinet confirms talks on pension unit
Reinet was established in 2008 following a spin-off from Richemont, the Swiss luxurious group additionally chaired by Rupert. He holds a 24.9 p.c stake in Reinet and serves as its govt chairman. The corporate confirmed that it had been approached a couple of potential sale of its stake in Pension Insurance coverage Company, the place it owns an oblique 49.5 p.c share. Whereas discussions are ongoing, Reinet emphasised that there is no such thing as a certainty the deal shall be finalized. It mentioned it will subject additional updates “if and when acceptable.”
Pension Insurance coverage Company is by far Reinet’s most useful holding. As of its newest filings, the stake was valued at €3.7 billion ($4.35 billion), making up greater than half — about 53.7 p.c — of the agency’s complete internet asset worth. The subsequent largest asset on its books is a money reserve of €1.8 billion ($2.1 billion), unfold throughout a number of currencies and held with top-tier banks and short-term cash market funds.
Reinet eyes second main asset sale
Based in 2006, Pension Insurance coverage Company manages almost £51 billion ($70 billion) in property and serves near 400,000 policyholders. In 2024, it posted a revenue after tax of £284 million ($389.4 million) and paid out £2.2 billion ($3 billion) in pensions. If the deal goes by means of, it will be Reinet’s second main exit in recent times, following the sale of its remaining shares in British American Tobacco, the supply of a lot of its present money place.
Reinet was fashioned to deal with Richemont’s stake in British American Tobacco after the demerger. Over time, the agency has steadily reshaped its portfolio beneath Johann Rupert, moving away from tobacco and right into a extra diversified vary of property. The potential sale of its PIC stake indicators a continuation of that shift, as Reinet seems to unlock worth and reposition for brand spanking new alternatives.
