Great-West Lifeco To Acquire Irish Life Group

February 25, 2013

February 25, 2013

On February 19, 2013, Great-West Lifeco Inc. (TSX: GWO) announced that it had reached an agreement to acquire, through its subsidiary Canada Life Limited, all of the shares of Irish Life Group Limited from the Government of Ireland for C$1.75 billion.


On February 19, 2013, Great-West Lifeco Inc. (TSX: GWO) announced that it had reached an agreement to acquire, through its subsidiary Canada Life Limited, all of the shares of Irish Life Group Limited from the Government of Ireland for C$1.75 billion.  Irish Life is Ireland’s largest life, pensions and investment management business with over one million customers and 37 billion Euros of assets under management.  Great-West Lifeco will fund the transaction from the following sources: (i) the net proceeds of an issuance of approximately $1.25 billion in subscription receipts, issued in a public-bought deal offering (valued at $650 million) and private placements to Power Financial Corporation ($550 million) and IGM Financial Inc. ($50 million), (ii) the issuance of euro-denominated debt, and (iii) internal cash resources.  The transaction is expected to close in July 2013, and is subject to regulatory approval.  Following the closing, the life and pensions operations of Great-West Lifeco’s subsidiary Canada Life (Ireland) will be combined with Irish Life.

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Categories

Investment Manager M&A, Mutual Fund M&A, Transactions