Royal London is bidding to take over fellow mutual financial services provider LV= in a deal estimated to be worth in excess af £500m, according to media reports.
The tie-up would create a mutual with around 6,000 staff. Royal London currently oversees assets of £139bn, many times more than the £14bn assets held by LV=. LV= sold its general insurance operations to Allianz at the end of 2019.
Royal London has £600m from a debt-raising exercise it undertook last year, which could be used to fund the purchase.
The deal could see the LV= pensions brand, formerly Liverpool Victoria, disappear.
A deal would not be concluded until next year. LV’s 1.1m policyholders are expected to be asked to vote on the deal.