Admiral Group has agreed to sell its Penguin Portals business, comprising online comparison portals Confused.com, Rastreator.com and LeLynx.fr, to ZPG Comparison Services Holdings UK Limited (RVU).
As part of the transaction, RVU will also acquire tech unit Admiral Technologies, as well as Admiral’s 50% share of Preminen Price Comparison Holdings Limited.
Alongside the deal, MAPFRE has also agreed to sell its 25% holding in Rastreator and 50% holding in Preminen.
In total, the value of the transaction amounts to £508 million, with Admiral’s proceeds to stand at around £450 million.
Admiral expects to return a majority of the net proceeds to shareholders, though will retain a portion to support investment in new business development over the coming years.
The sale is currently expected to complete in the first half of 2021, subject to regulatory and competition authority approvals.
“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,” said David Stevens, Group CEO of Admiral.
“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,” Stevens continued.
“Admiral will continue to focus on what Admiral has consistently done well, namely designing and underwriting good value mass market financial service products. Comparison will continue to be Admiral’s most important distribution channel in Europe and we look forward to continuing to work closely with Confused.com, Rastreator and LeLynx as they continue to grow and strengthen the customer offering.”
Elena Betes, CEO of Penguin Portals, also commented: “We are very excited for the next stage of our journey. Our purpose, strategy, expertise and culture align strongly with that of RVU. Becoming part of a global network of brands and platforms, united by the same mission to help people make better decisions, will bring significant benefits to our customers and our people.”
Tariq Syed, CEO of RVU, added: “Penguin Portals offers an exciting opportunity for us to expand our consumer brand portfolio and geographic reach. With its focus on insurance, Confused.com perfectly complements Uswitch’s existing expertise in the home services category, and, with equally established offerings in other countries, we have an opportunity to help even more consumers find the right deals for their needs.”
Admiral was advised by Houlihan Lokey, Clifford Chance LLP and KPMG in connection with the transaction.
