Admiral has announced plans to sell Confused.com to Uswitch in a £500m deal.
The deal is expected to be closed in the first half of 2021 and is subject to approval.
David Stevens, the chief executive of Admiral Group, commented on the deal: “The purchase of the UK and European comparison businesses by RVU offers a positive outcome for our customers and our employees, and also provides good value for our shareholders.
“The combination of Penguin’s strengths, notably in insurance comparison across much of Europe, with RVU’s strengths beyond insurance and experience in growth through acquisition provides a solid foundation for the combined businesses to grow and prosper.
“Admiral will continue to focus on what Admiral has consistently done well, namely designing and underwriting good value mass market financial service products,” he added.
Tariq Syed, the chief executive of RVU, said: “Penguin Portals offers an exciting opportunity for us to expand our comparison brand portfolio and geographic reach. With its strong brand heritage and focus on insurance, Confused.com perfectly complements Uswitch’s expertise in the home services category.”
Earlier this year, Admiral posted pre-tax profits for the six months of 2020 up by 30% to £286.7m, helped by a fall in motor insurance claims as people stayed at home over lockdown.
Admiral’s chief executive, David Stevens, said on the results: “Our response to that pandemic highlighted two of Admiral’s key strengths – competent execution in the short term and sustainable values for the long term.”
Shares in Admiral Group are trading +3.29% at 3,019.12 (1020GMT).
