In a statement today, the company said the sale price on the Am Life Insurance Berhad and AmFamily Takaful Berhad stake had been set at RM245m (£50.1m), and that Friends Life Group plc would receive about that amount, once the benefits of a currency hedge were factored in.
Resolution said it had decided to sell the stake after determining that the business “required a greater level of short-term investment and commitment to meet its growth potential than was appropriate”.
It added: “Resolution and its operating business, Friends Life, are committed to the development of its International Division through Lombard International Assurance and Friends Provident International.”
Under the terms of the original deal, Friends Life was required to sell its interest in the AmLife JV back to the AmBank Group.
‘Plans now generate improved profit, cash returns’
Friends Life International chief executive John Van Der Wielen noted that the whollyowned FPI and Lombard businesses “now have plans that generate improved profit and cash returns for the group”.
