Admiral seals £500m deal to sell comparison business including Confused.com
Admiral has struck a £500 million-plus deal to sell its comparison website business which includes Confused.com.
The insurance giant said it had agreed to sell its Penguin Portals arm, which also includes Rastreator.com, LeLynx.fr, the group’s technology operation and its 50 per cent share in Preminen Price Comparison Holding to ZPG (Zoopla Property Group), the owner of Uswitch, in a deal worth some £508m.
ZPG has said it will control the acquired businesses through its comparison site division, RVU.
Spanish insurance giant MAPFRE said it will also sell its stake in Rastreator.com and Preminen as part of the deal.
The total deal will be worth £508m, although Admiral has said it expects to secure some £450m in proceeds after accounting for minority interests and transaction costs.
The bumper deal is subject to regulatory approvals and is expected to close in the first half of the new year.
David Stevens, chief executive of Admiral Group, said: “The purchase of the UK and European comparison businesses by RVU offers a positive outcome for our customers and our employees, and also provides good value for our shareholders.
“The combination of Penguin’s strengths, notably in insurance comparison across much of Europe, with RVU’s strengths beyond insurance and experience in growth through acquisition provides a solid foundation for the combined businesses to grow and prosper.
“Admiral will continue to focus on what Admiral has consistently done well, namely designing and underwriting good value mass market financial service products.”
RVU boss Tariq Syed added: “Penguin Portals offers an exciting opportunity for us to expand our comparison brand portfolio and geographic reach.”
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