-- CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:
Aegon's sale of its U.K. operations to Standard Life for GBP2.0 billion (GBP750 million cash + 15.3% equity stake) is positive. The deal values the business at 14.2x 2025 operating earnings (vs. the 12x group multiple) and 1.9x equity (group: 1.2x). In 2025, Aegon UK contributed EUR219 million in operating result (12% of group), GBP1.4 billion in CSM (19%), and GBP246 billion in AUM (32%). Aegon's U.K. asset management remains as strategic partner to the combined entity, creating Britain's largest retirement provider with 16 million customers and GBP480 billion in assets. The transaction could boost Aegon's book value by ~15% while reducing 2027 earnings by 5%, although the cash proceeds enable buybacks to offset the EPS dilution. Aegon becomes Standard Life's largest shareholder with board representation. This completes Aegon's U.K. strategic review, accelerating its U.S. transformation toward 2028 redomiciliation as Transamerica. The sale is expected to close in end-2026 subject to regulatory approvals.