Admiral consolidates by selling comparison portals to RVU
Admiral Group has announced details of an agreement between it and RVU, which will see the latter purchase the former’s ‘Penguin Portals’ portfolio.
Consisting of well-known online comparison websites like Confused.com, Rastreator.com and LeLynx.fr, as well as a 50% share of Preminen Price Comparison Holdings Limited. In addition, Spanish insurer MAPFRE has declared it will sell its own 25% stake in Rastreator and 50% holding of Preminen.
The total return for Admiral itself will be approximately £450m (US$616m), the majority of which, owing to the company’s strong finances, is anticipated to go to shareholders.
David Stevens, Group CEO, stated that the business’ decision to consolidate at this time reflected its desire to “focus on what Admiral has consistently done well, namely designing and underwriting good value mass-market financial service products.”
“It is a wrench to part company with our fellow employees at Confused.com, Rastreator, LeLynx and Preminen, but I believe it is the right choice for the long-term success of the businesses and will create many interesting and worthwhile opportunities for our teams going forward.
“I thank them and their predecessors for their contribution to the success of the Group and to the financial well-being of their millions of customers.”
The next stage of a journey
Believing that Penguin Portals’ will be able to achieve dynamic synergy with RVU going forward, CEO Elena Betes (who will be transferring with the business, along with other senior management staff) anticipates that the future will bring significant customer benefits. Tariq Syed, CEO of RVU, concurs:
“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.”
The deal between Admiral and RVU is expected to conclude in the first half of 2021. Notably, the agreement does not include the former’s US-based comparison website, Compare.com.
