Assurant, Inc. (NYSE: AIZ), a premier provider of specialty insurance and insurance-related products and services, announces an agreement to purchase Lifestyle Services Group, a mobile phone insurance provider, for up to $160 million (GBP 107 million) in cash from Phones 4u Finance plc.
With about $185 million (GBP 125 million) of annual revenue, Lifestyle Services Group is a leading provider of mobile device insurance in the United Kingdom. The company provides a broad array of services through leading banks and retail mobile network operators to more than 8 million customers. The acquisition of Lifestyle Services Group will complement and broaden Assurant Solutions’ footprint in the mobile marketplace.
“Our acquisition of Lifestyle Services Group strengthens and expands our global mobile presence, which is an important strategic priority,” said Robert B. Pollock, president and CEO of Assurant, Inc. “Their established client portfolio, strong customer service capabilities and experienced management team accelerate our opportunities in the European mobile marketplace.”
The acquisition of Lifestyle Services Group is expected to have a minimal impact on Assurant’s 2014 earnings and be accretive going forward. The transaction is subject to regulatory approval and expected to close in the fourth quarter of 2013.“Since we started Lifestyle Services Group in 2005 the team has built its reputation on supporting clients to deliver excellent service in the mobile device insurance market,” said Tim Whiting, CEO of Phones 4u Finance plc. “Assurant is an excellent home for Lifestyle Services Group and will support its continuing journey while allowing Phones 4u to focus on further opportunities in its core business. I would like to thank all of the Lifestyle Services Group employees for their contributions and wish them and Assurant well for the future.” “Assurant is a recognized global specialty insurance leader that shares our commitment to help protect the mobile devices that play an increasingly important part in people’s lives,” said Chris Harrison, CEO of Lifestyle Services Group. “Together we will build on many years of mobile experience that drives us to make mobile services simpler and easier for customers. We are excited to join the Assurant team and believe this new relationship will be a valuable and productive one for our customers, clients and employees.”