An island-based company has bought another’s investment-linked insurance policies and portfolio bonds for an undisclosed sum.

The deal, between International Financial Group Limited (IFGL) and Isle of Man Assurance Limited (IOMA) is subject to regulatory approval.

The IOMA policies and bonds – known in insurance circles as a wealth book – consists of just over 2,000 policies with an assets under management of about £500m.

The deal solely covers IOMA’s wealth book of business and does not include the acquisition of the company or the transfer of any staff to IFGL.

IFGL insurance business managing director Mike Crellin said: ‘This acquisition is part of IFGL’s longstanding strategy of growth through acquisition, as well as organically. The deal is an opportunity for us to provide existing IOMA wealth customers with the high standards of service for which IFGL is internationally recognised.

‘We expect to receive the necessary approvals to complete this deal later in 2024.’

IOMA chairman Robin Bigland said: ‘In a changing world we at IOMA feel that the future of our wealth clients will be best served in the hands of a renowned financial group. We are very pleased that IFGL will hereafter fill that role.’

IFGL owns RL360, Friends Provident International Limited, Ardan International and IFGL Pensions.

It provides investment, savings and protection solutions to international investors around the world, with 216,000 customers, $23 billion assets under administration and employs 570 staff (as at December 31 2022).