Phoenix could use annuity book to raise funds

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Phoenix Group, the "zombie" life fund business formerly known as Pearl, is keen to raise cash from its £10bn book of annuity policies.

The group will use the funds to explore closed life fund acquisitions more quickly, the Financial Times understands. Phoenix, which moves to a full primary listing on the LSE today, needs to pay down 10% of nearly £3bn in bank debt before it can explore new deals and escape a dividend cap. Pearl was forced into a complex financial restructuring in 2009 after the group struggled under the debt taken on in 2008 to complete a £5bn takeover of rival closed life fund group, Resolution. Ron Sandler and Jonathan Moss, chairman and chief executive of Phoenix, said ahead of the listing the...

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