Admiral Group plc has completed the sale of its financial comparison business Penguin Portals Group and its 50% stake in Preminen Price Comparison Holdings to ZPG Comparison Services Holdings UK Limited (RVU), having obtained the necessary approvals from regulation and competition authorities.
The Penguin Portals business includes online comparison sites Confused.com, Rastreator.com and LeLynx.fr, as well as the group’s technology operation Admiral Technologies. MAPFRE has also sold its 25% holding in Rastreator and 50% holding in Preminen as part of the transaction.
According to a statement by Admiral, the total transaction value, including the amount attributable to MAPFRE, is £508 million, and has been paid in cash. Admiral’s proceeds, net of minority interests and transaction costs, amount to around £460 million.
Admiral added that due to its strong solvency and liquidity position, it expects to return a majority of the net proceeds to shareholders, but it will use a portion to invest in new business development over the next few years. The firm will provide further details when it releases its interim results in August.
“The Penguin Portals businesses have been an important part of Admiral’s story, and all of our great colleagues will be enormously missed,” said Milena Mondini, CEO of Admiral Group.
“We believe that this was the right choice for Admiral and our shareholders, as well as for the long-term success of these businesses as they will find additional synergies and opportunities to further grow and fulfil their ambitions with RVU.
“We wish our Penguin Portal colleagues all the best for the future and look forward to continuing to work together.”
Houlihan Lokey, Clifford Chance LLP and KPMG acted as Admiral’s advisors for the transaction.