Phoenix Group Holdings PLC (LON:PHNX) said it is assessing a "range of strategic options to maximise value for shareholders" after receiving interest from potential buyers for its continental European business.
The life and pensions book consolidator's Phoenix Europe arm operates in the European life insurance market, with operations across Ireland, Germany and the UK offshore savings market.
Putting out a statement on Tuesday morning after recent press speculation that it had received a tentative approach for its German and Irish activities, the FTSE 100-listed group said there can be no certainty that a transaction will be achieved.
Phoenix's European businesses contributed only 6% of operating profit in the past year, excluding the recent acquisition of ReAssure, but are seen by Phoenix as offering 'strategic optionality' for M&A on the Continent.
Europe contributes around 10% to new business inflows, said analysts at broker Peel Hunt, "and would need further scale to become relevant within the Phoenix Group".
Phoenix is still integrating the ReAssure business that it acquired from SwissRe in July, which it said recently was greatly boosting the amount of cash coming into the group.