Legal & General Group (LGEN)

Sector:

Insurance

Index:

FTSE 100

314.90p
   
  • Change Today:
    -3.40p
  • 52 Week High: 319.20
  • 52 Week Low: 216.70
  • Currency: UK Pounds
  • Shares Issued: 5,965m
  • Volume: 10,832,519
  • Market Cap: £18,785m
  • RiskGrade: 112

Legal & General lifts pensions risk transfers to £8.4bn

By Oliver Haill

Date: Monday 08 Oct 2018

LONDON (ShareCast) - (Sharecast News) - Legal & General has bought out the £2.4bn Nortel Networks UK pension plan, taking its pensions transactions to a record £8.4bn for the year for its pension risk transfer business.
Nortel UK plan, which covers 15,500 pensioner members and around 7,200 deferred members, has been without a sponsor since 2009 when it was assessed by the Pension Protection Fund while insolvency proceedings were ongoing.

L&G said the financial metrics and Solvency II capital strain of this transaction are in line with previous levels it has reported.

Group chief executive Nigel Wilson said the UK and international pipelines are "stronger than we have ever seen", with £25bn currently in active pricing discussions in the UK alone.

"The Nortel transaction illustrates the diverse range of situations to which buy-ins and buyouts can provide solutions to enhance outcomes for members, scheme sponsors and in this case the PPF: as the PRT market grows in volume, we also expect it to grow in diversity."

Shares in L&G were up 0.6% to 259.97p on Monday morning, still down around 4% in 2018.

"L&G remains the market leader in pension risk transfer and is able to utilise the strengths of its asset management and capital development businesses to generate long-term assets well matched to the liabilities it takes on," said analyst Paul De'Ath at Shore Capital.

"This potentially makes the deals more profitable for L&G than its peers, in our view."

With the PRT business running through the whole of the group's operation, De'Ath said delivery on this deal at terms similar to previous levels reported "should provide another strong earnings boost for 2018".

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Note 1: Prices and trades are provided by Digital Look Corporate Solutions and are delayed by at least 15 minutes.

Note 2: RiskGrade figures are provided by RiskMetrics.

 

Legal and General Market Data

Currency UK Pounds
Share Price 314.90p
Change Today -3.40p
% Change -1.07 %
52 Week High 319.20
52 Week Low 216.70
Volume 10,832,519
Shares Issued 5,965m
Market Cap £18,785m
RiskGrade 112

Legal and General Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value Not Available
Price Trend
71.75% above the market average71.75% above the market average71.75% above the market average71.75% above the market average71.75% above the market average
100.00% above the sector average100.00% above the sector average100.00% above the sector average100.00% above the sector average100.00% above the sector average
Income
81.67% above the market average81.67% above the market average81.67% above the market average81.67% above the market average81.67% above the market average
25% below the sector average25% below the sector average25% below the sector average25% below the sector average25% below the sector average
Growth
60.96% above the market average60.96% above the market average60.96% above the market average60.96% above the market average60.96% above the market average
100.00% above the sector average100.00% above the sector average100.00% above the sector average100.00% above the sector average100.00% above the sector average

What The Brokers Say

Strong Buy 6
Buy 0
Neutral 6
Sell 1
Strong Sell 3
Total 16
neutral
Broker recommendations should not be taken as investment advice, and are provided by the authorised brokers listed on this page.

Legal and General Dividends

  Latest Previous
  Interim Final
Ex-Div 15-Aug-19 25-Apr-19
Paid 26-Sep-19 06-Jun-19
Amount 4.93p 11.82p

Trades for 20-Feb-2020

Time Volume / Share Price
16:35 3,491,673 @ 314.90p
16:29 2,672 @ 314.70p
16:29 533 @ 314.70p
16:29 40 @ 314.70p
16:29 506 @ 314.70p

Legal and General Key Personnel

Chair John Kingman
CFO Jeff Davies
CEO Michelle Scrimgeour

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