Wealth manager Utmost Group has sold its Utmost Life and Pensions (ULP) arm to JAB Insurance.

Utmost says the deal, for an undisclosed sum, will strengthen investment in its core wealth business and will give its life and pensions arm a chance to grow under a new owner.

The sale, subject to regulatory approval, includes all its bulk purchase annuity business being transferred to JAB Insurance.

The sale will see the entire ULP business, which has more than £5bn in assets and 175 employees, being sold.

ULP entered the bulk purchase annuity market in late 2024 and has completed 11 buy-ins totalling £311m. Under JAB Insurance, ULP will continue to pursue its growth plans, Utmost says.

The sale is expected to complete by mid-2026.

The sell off will allow Utmost to pursue growth in the global wealth market, Utmost said. The proceeds will be used to repay outstanding bank debt issued to finance Utmost's acquisition of Lombard International while the remaining funds will be used for, “general corporate purposes.”

Paul Thompson, Utmost Group CEO, said: “The sale of Utmost Life and Pensions marks an important milestone in our long-term strategy. This divestment will enable us to sharpen our focus on our market-leading wealth solutions business.

“We are committed to capitalising on the strong structural growth drivers within the wealth market and responding to the increasing demand for our multi-jurisdictional solutions.

“The decision to sell Utmost Life and Pensions, which has built a strong reputation and delivered exceptional value to its customers, was made after careful consideration. Under JAB Insurance’s ownership, I am confident that Utmost Life and Pensions will continue to thrive and excel in the competitive BPA market.”

Anant Bhalla, executive chairman of JAB Insurance, said: “We look forward to welcoming the Utmost Life & Pensions business and all its policyholders into the JAB Insurance family. This acquisition is consistent with our strategy to enter the most attractive global insurance markets where we can bring our permanent capital alongside differentiated capabilities across the value chain.

“ULP provides a strong foothold in the UK market, which fits nicely with JAB Insurance’s long-term investment horizon. We intend to support the leadership team to ensure a seamless process through deal completion and beyond, and to make ULP a significant solution for long-term financial security for UK policyholders.”

Utmost plc is a provider of insurance-based wealth solutions and has over £100bn of assets under administration.