Royal London in talks to buy Co-operative funds
Royal London is in exclusive talks to acquire Co-operative Financial Services’ asset management and life insurance arms.
The operations represent two million policyholders and have £19.4bn of funds under management between them.
Royal London Asset Management has £40.37bn in assets under management, as at 31 March.
Mike Yardley, group chief executive of Royal London, said the potential transaction will see two like-minded companies share a mutual focus on the long-term interests of members and customers.
“Over the past decade, Royal London Group has grown significantly and profitably, through successful acquisitions as well as by organic growth,” said Yardley.
“I believe the opportunity we are discussing with CFS has the potential to deliver another major step forward for Royal London, with real benefits for our members and other policyholders.”
CFS’ funds include the £1.1bn CIS UK Growth fund and £313m CIS Sustainable Leaders Trust, which both sit in the UK All Companies sector.