Quilter PLC completed the disposal of Quilter Life Assurance to Swiss Re AG unit ReAssure Group PLC for a total cash consideration of roughly £445 million.

The agreed-upon cash consideration for the sale of Quilter's U.K. closed-book business was £425 million plus accrued interest payable under the agreement up to the completion date of approximately £20 million, according to a Jan. 2 statement.

Quilter's board said net surplus proceeds of £375 million from the sale will be regarded as excess capital, and the board proposed to distribute it among the company's shareholders as part of the group's 2019 dividend.

The transaction was initially announced in August 2019 and consisted of Quilter's heritage life and pensions division Old Mutual Wealth Life Assurance Ltd. and subsidiary Old Mutual Wealth Pensions Trustees Ltd.

In a separate statement, ReAssure Group confirmed that it completed the acquisition, which it expects to generate more than £500 million of surplus generation, including about £200 million of synergies.

The group said the internally funded transaction exceeds internal return requirements, with a price to adjusted unrestricted Tier 1 of approximately 80% and a payback period of four years.