More acquisitions in the pipeline for Chesnara

Preston headquartered European life, pensions and investment company Chesnara remains on the acquisition trail after a ‘transformative’ year of growth.

The FTSE 250 company’s group chief executive Steve Murray, pictured above, has revealed there is a “positive” M&A pipeline in place for the business, which has delivered strong financial results, alongside two material deals, in the past 12 months.

Its full-year 2025 results show a 42 per cent surge in adjusted operating profit to £56m, up from £39m the previous year. And assets under administration hit £15bn, up 10 per cent year on year.

The two deals announced are set to significantly increase the group’s scale and longer-term operating capital generation potential.

In January, Chesnara completed its acquisition of HSBC Life UK, now rebranded as Chesnara Life. The following month it revealed a second separate deal to acquire Scottish Widows Europe.

The HSBC Life deal, funded through a combination of internal resources and a fully underwritten £140m equity raise, with a total consideration of £247m, was the largest in the history of the business

It is expected to add £5bn of assets under administration and deliver £140m of cash generation over the first five years, transforming Chesnara’s scale in the UK. 

And the proposed €110m (£95m) acquisition of Scottish Widows Europe is expected to add €250m (£218m) cash generation.

Chesnara, which is based in Winckley Square in Preston’s business district, says the Scottish Widows deal, which is set for completion at the end of 2026, continues its M&A ‘momentum’.

Steve Murray said: “These deals are expected to significantly increase the group’s scale and longer-term operating capital generation potential and we continue to see further opportunities to grow, with a positive M&A pipeline and a great track record of disciplined execution.”

He said that despite the 2025 being “another year of unprecedented events and wider market volatility” with shifting global trade dynamics and geopolitical developments, Chesnara’s business model continues to demonstrate its resilience.

And he added: “Looking into 2026 and beyond, we continue to see a very healthy pipeline of acquisition opportunities and remain positive about the outlook for further M&A.

“Our disciplined approach and strong capital position mean we are well placed to execute value-accretive transactions.”

He went on: “2025 was a transformative one for the group and a year where our people have done a terrific job delivering across our key strategic initiatives.

“Going forward, we have increased confidence we can materially grow the group and deliver further value for our investors.”

The group is proposing a six per cent increase in its final dividend to 14.80p per share – its 21st consecutive year of dividend growth.

Earlier this year Chesnara was named in Lancashire Business View’s Big 20 ranking of Lancashire’s biggest companies by sales and profit