Athora, a European savings and retirement services company, has signed a definitive agreement to acquire Pension Insurance Corporation Group (PICG) for approximately £5.7bn ($7.8bn).

Upon completion, PICG will become Athora’s UK insurance business, operating under the Pension Insurance Corporation and Penguin brands.

This acquisition marks the company’s first UK insurance venture, expanding its presence in the UK market.

Athora reached the agreement with PICG shareholders, including Reinet Fund, a wholly owned subsidiary of the Abu Dhabi Investment Authority (ADIA), and funds managed by CVC Capital Partners and HPS Investment Partners.

Athora, backed by permanent capital owners such as Apollo Global Management and Athene Holding, aims to enhance its growth through this acquisition.

PICG will become Athora’s UK subsidiary, retaining its experienced team and commitment to customer service.

The acquisition will provide PICG with broader resources, long-term growth capital, and enhanced asset origination capabilities, particularly in private investment-grade credit, leveraging Athora’s strategic relationship with Apollo.

Athora Group CEO Mike Wells said, “We are pleased for PICG to become Athora’s first UK insurance business, maintaining its great team, brand and utmost commitment to serving its customers.

“The acquisition by Athora will enhance access to long-term growth capital and asset origination capabilities, enabling PIC to serve more of the UK savings and retirement market, where it has already established itself as a top three provider in pension risk transfer.”

The acquisition will create one of Europe’s largest insured savings and retirement services businesses, building on Athora’s existing subsidiaries in the Netherlands, Italy, Belgium, and Germany.

Athora’s AuMA will increase to approximately €135bn, a 78% rise from year-end 2024 levels.

Wells also noted, “Today, PIC is a significant investor in the UK economy and, as part of Athora, we believe it will play an even more meaningful role in providing long-duration financing for infrastructure and other long-term assets.”

The acquisition will be funded primarily by equity and long-term bank debt, with Athora expecting to maintain a solvency ratio above its target levels. The transaction is anticipated to close in early 2026, contingent upon customary closing conditions and regulatory approvals from the PRA.