Venerable Completes Acquisition of Corporate Solutions Life Reinsurance Company

Venerable Holdings Inc. has completed its acquisition of Corporate Solutions Life Reinsurance Company (CS Life Re), a Delaware domiciled and New York licensed reinsurance company, from Equitable Holdings Inc.

With the close of this transaction, Venerable’s pro forma assets under management and reinsurance increase to approximately $70 billion.

On a pro forma basis, Venerable has more than doubled its general account assets from $9 billion to $19 billion, in addition to more than $51 billion in separate account reinsured.

The transaction includes reinsurance of a legacy variable annuity block from Equitable Financial Life Insurance Company with the combined deal representing $36.5 billion of underlying account value and general account assets. Venerable has also reinsured its existing business into CS Life Re.

Equitable Holdings will take a noncontrolling 9.09% equity stake in Venerable’s parent holding company, VA Capital Company LLC. Pending regulatory approval, a member of Equitable Holding’s management team will be appointed to the VA Capital Company LLC board.

A small team supporting CS Life Re has transitioned from Equitable Holdings to Venerable. AllianceBernstein L.P. has been retained as the preferred investment manager for most of the general account assets associated with this transaction, and Voya Investment Management will continue to be the preferred asset manager for the majority of Venerable’s existing book of business.

Barclays served as financial advisor, and Sidley Austin LLP served as legal counsel to Venerable in connection with this transaction.

Venerable is a privately held company with business operations based in West Chester, Pennsylvania, and Des Moines, Iowa. It owns and manages legacy variable annuity business acquired from other entities.

Source: Venerable Holdings Inc.

Topics Mergers & Acquisitions Reinsurance