Blackstone Group agreed to sell its 36% stake in U.K. pension buyout firm Rothesay Life to GIC and Massachusetts Mutual Life Insurance Co. for an undisclosed sum, a Rothesay Life spokesman confirmed Thursday in an email.
Under the terms of the deal, which is subject to customary regulatory approvals, GIC and MassMutual will each own 49% of Rothesay Life. The transaction values Rothesay Life at £5.8 billion ($7.4 billion).
Blackstone, GIC and MassMutual originally bought stakes in Rothesay Life from Goldman Sachs Group in 2013.
"We have been shareholders in Rothesay since 2013 and are pleased to have helped the company grow into the market leader it is today," said Yong Cheen Choo, chief investment officer of private equity at GIC in a news release. "We have confidence in Rothesay's long-term prospects given its highly capable management team and strong risk management practices. We look forward to working closely with MassMutual to add value to Rothesay, as the company continues to strengthen its leading position in pension de-risking solutions."
Tim Corbett, CIO of MassMutual added in the release: "We are pleased to build on the strong, long-term relationship we have established with Rothesay Life, which has experienced tremendous growth, has a proven business model and strategy and is well-positioned in the market."
Rothesay Life has £56 billion in assets under management.