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Key Points
- Reinet, controlled by Johann Rupert, is in talks to sell its 49.5% stake in Pension Insurance Corporation for up to $6.85 billion.
- Pension Insurance Corporation is Reinet’s largest holding, accounting for over 53% of its total net asset value.
- The deal would mark Reinet’s second major divestment, following its full exit from British American Tobacco.
Reinet Investments, the Luxembourg-based investment vehicle controlled by South Africa’s richest man Johann Rupert, is in discussions to sell its biggest asset, Pension Insurance Corporation Group, in a deal that could fetch as much as £5 billion ($6.85 billion). According to reports, retirement services group Athora is in talks to acquire the UK-based insurer.
Reinet confirms talks on pension unit
Reinet was established in 2008 following a spin-off from Richemont, the Swiss luxury group also chaired by Rupert. He holds a 24.9 percent stake in Reinet and serves as its executive chairman. The company confirmed that it had been approached about a possible sale of its stake in Pension Insurance Corporation, where it owns an indirect 49.5 percent share. While discussions are ongoing, Reinet emphasized that there is no certainty the deal will be finalized. It said it would issue further updates “if and when appropriate.”
Pension Insurance Corporation is by far Reinet’s most valuable holding. As of its latest filings, the stake was valued at €3.7 billion ($4.35 billion), making up more than half — about 53.7 percent — of the firm’s total net asset value. The next largest asset on its books is a cash reserve of €1.8 billion ($2.1 billion), spread across multiple currencies and held with top-tier banks and short-term money market funds.
Reinet eyes second major asset sale
Founded in 2006, Pension Insurance Corporation manages nearly £51 billion ($70 billion) in assets and serves close to 400,000 policyholders. In 2024, it posted a profit after tax of £284 million ($389.4 million) and paid out £2.2 billion ($3 billion) in pensions. If the deal goes through, it would be Reinet’s second major exit in recent years, following the sale of its remaining shares in British American Tobacco, the source of much of its current cash position.
Reinet was formed to house Richemont’s stake in British American Tobacco after the demerger. Over time, the firm has steadily reshaped its portfolio under Johann Rupert, moving away from tobacco and into a more diversified range of assets. The potential sale of its PIC stake signals a continuation of that shift, as Reinet looks to unlock value and reposition for new opportunities.
