Achmea and Lifetri Merge Pension and Life Portfolios to Form Leading Dutch Insurance Provider

Achmea and Lifetri Merge Pension and Life Portfolios to Form Leading Dutch Insurance Provider

(IN BRIEF) Achmea and Lifetri are merging their pension and life insurance portfolios to form Achmea Pension & Life Insurance N.V., creating one of the Netherlands’ top three providers in the sector, serving over 2.1 million customers. Sixth Street, Lifetri’s principal shareholder, will acquire 20% of the shares in the joint venture by contributing Lifetri and paying €445 million, while Achmea retains an 80% stake. The partnership aims to capture a 20% share of the growing pension buy-out market, valued at €20-€30 billion, and leverage Achmea’s expertise and Lifetri’s customer-focused approach. Customers will transition to Achmea’s Centraal Beheer platform, benefiting from a digital ecosystem offering insurance, savings, and investment products. The merger also emphasizes sustainable investment, aligning with social impact and climate goals. Subject to regulatory approvals, the transaction is expected to close in late 2025, with Lifetri employees joining Achmea. The joint venture is projected to generate €100 million annually in capital starting from 2028, positioning it as a key player in the evolving Dutch pension market.

(PRESS RELEASE) ZEIST/MAARSSEN, 29-Nov-2024 — /EuropaWire/ — Achmea and Lifetri have announced a strategic partnership that will merge their pension and life insurance portfolios under the newly formed Achmea Pension & Life Insurance N.V., establishing one of the top three pension and life insurance providers in the Netherlands. The joint venture will serve over 2.1 million customers and position itself as a key player in the growing pension buy-out market, targeting a 20% market share.

As part of the agreement, Sixth Street, the principal shareholder of Lifetri, will acquire 20% of the shares in the new entity by contributing Lifetri and paying €445 million to Achmea, which will retain an 80% stake. Lifetri’s 500,000 customers will transition to Achmea’s Centraal Beheer platform, benefiting from a digital ecosystem offering a wide range of insurance, savings, and investment solutions.

Capitalizing on Pension Market Opportunities

The partnership is set to capitalize on anticipated consolidation in the Dutch pension market, driven by upcoming pension reforms and increasing demand for insured solutions. With assets exceeding €1.7 trillion, the Netherlands boasts one of the largest pension markets globally, and the buy-out segment alone is expected to reach €20-€30 billion in the coming years. The joint venture will leverage the complementary expertise of Achmea and Sixth Street to provide innovative solutions for funds considering buy-outs.

Strategic and Customer-Centric Approach

Bianca Tetteroo, Chair of Achmea’s Executive Board, highlighted the strategic benefits of the merger: “This collaboration enhances our scale and synergy, enabling us to deliver exceptional value to Lifetri’s customers while tapping into substantial growth opportunities in the pension market. Together with Sixth Street, a trusted partner with extensive industry knowledge, we are well-positioned to lead in this evolving landscape.”

Rutger Zomer, CEO of Lifetri, emphasized the customer benefits: “By combining Lifetri’s customer-centric approach with Achmea’s capital strength and asset management capabilities, we are creating significant value for policyholders and ensuring a strong foundation for future growth.”

Michael Muscolino, Co-founder and Partner at Sixth Street, added: “This partnership aligns perfectly with Sixth Street’s commitment to long-term value creation and innovation in the Dutch pension and life insurance market. We are thrilled to collaborate with Achmea to deliver comprehensive solutions tailored to this market’s unique needs.”

Sustainable Investment and Impact Goals

The joint venture will align its operations with social impact and climate goals, leveraging Achmea Investment Management’s leadership in sustainable and impact investing. This approach underscores the partners’ commitment to generating financial returns while addressing broader societal and environmental challenges.

Timeline and Next Steps

The transaction is subject to regulatory approvals and advisory processes, which are expected to be completed by the second half of 2025. Following the approval, Lifetri’s employees will join Achmea, and the transfer of customers to the Centraal Beheer platform will commence. Starting in 2028, the partnership anticipates boosting capital generation by approximately €100 million annually.

This merger represents a pivotal step for both Achmea and Lifetri, combining their strengths to create a resilient and innovative leader in the Dutch pension and life insurance sector, ready to meet the challenges and opportunities of a rapidly evolving market.

Advisors involved in the transaction
J.P. Morgan acts as financial advisor and De Brauw Blackstone Westbroek as legal advisor to Achmea. PwC supports Achmea with various services. Aperghis & Co and BofA Securities act as financial advisors, and Stibbe, NautaDutilh, and Cleary Gottlieb as legal advisors to Sixth Street. Deloitte supports Sixth Street with various services and Milliman supports Sixth Street with actuarial services.

About Achmea
Achmea is a broad financial service provider with strong brands such as Centraal Beheer, Interpolis and Zilveren Kruis. We help people get on with their lives when it really matters. For more than 210 years, we have been there by and for our customers, as well as for society at large. Together with our customers and partners, we work towards solutions for major social issues relating to health, living and working, mobility and income. This is how we create sustainable value for our customers, our employees, our company and society. Previous generations have been able to rely on us, and future generations can do so too.

In 2023, Achmea’s customers contributed more than € 22 billion in premiums, of which € 1.8 billion in our international activities. Achmea is the market leader in the Netherlands for non-life and health insurance, and is an important provider of pensions and life insurance. Through Retirement Services, Achmea offers consumers, employers and institutional clients a complete package of products and service. We do this via Achmea Investment Management, Achmea Real Estate, Achmea Bank, Achmea Mortgages, Achmea Pension Services and Centraal Beheer PPI.

Outside the Netherlands, Achmea operates in Turkey, Greece, Cyprus, Slovakia, Australia and Germany. We have around 18,000 full-time employees, more than 14,000 of whom work in the Netherlands.

About Lifetri
Lifetri Groep (Lifetri) is a Dutch insurance group with a history that goes back seventy years. Lifetri is located in the Netherlands and under supervision of the Dutch regulators, the Dutch Central Bank (De Nederlandsche Bank) and the Netherlands Authority for the Financial Markets (Autoriteit Financiële Markten). Lifetri focusses on guaranteed pensions, term life and funeral insurance in the Netherlands, servicing over 500,000 customers. Lifetri currently provides pension guarantees to (former) employees of Allianz Nederland and Klaverblad Verzekeringen.

About Sixth Street
Sixth Street is a global investment firm with over $80 billion in assets under management and committed capital. Sixth Street uses its long-term flexible capital, data-enabled capabilities, and One Team culture to develop themes and offer solutions to companies across all stages of growth. Founded in 2009, Sixth Street has more than 650 team members including over 200 investment professionals operating around the world.

Disclaimer
This statement is published by Achmea B.V. and Lifetri Groep B.V. and contains inside information within the meaning of Article 7(1) of the EU Market Abuse Regulation.

Media Contacts:

Media Relations Achmea:
Marco Simmers
+ 31 6 53 43 87 18
marco.simmers@achmea.nl

Investor Relations Achmea:
Hans Duine
+31 6 82 10 50 97
hans.duine@achmea.nl

Lifetri & Sixth Street:
Kees Jongsma
+ 31 6 54 79 82 53
cjongsma@spj.nl

SOURCE: Achmea