Pensions giant Phoenix Group Holdings PLC (LSE:PHNX) has cancelled its planned disposal life insurance subsidiary SunLife just four months after announcing the sale in June.
Citing “the current uncertainty in the protection market”, the FTSE 100-listed group said it instead “will focus on enhancing the value it generates within the group”.
When Phoenix announced the sale in June, it said it had received interest from potential suitors, but there were no material offers on the table.
The plans were given a mixed reception from analysts.
Elsewhere in today’s trading update, Phoenix group logged an 83% growth in workplace net fund flows following new scheme wins, including a £900 million asset transfer from a new technology client.
Adjusted operating profit increased 15% to £360 million but losses after tax increased from £245 million to £646 million due to higher interest expenses.
The company increased its dividend by 2.5%.