UK's Family Investments to merge with Engage Mutual

UK-based provider of child trust funds Family Investments said it planned to merge with Engage Mutual, a savings and insurance firm, Reuters reported.

The two companies have yet to seek shareholder approval on the merger.

According to the Brighton, England-based Family Investments, the combined business was expected to have around 2 million customers and would oversee about £6 billion of family assets.

The  joint venture would be led by Simon Markey, chief executive of Family Investments and Christina McComb from Engage Mutual would be the chair.

According to Engage, its unique 1 million customers would continue to benefit even after the merger.

The deal would only be confirmed once both Engage and Family customers - who are the owners of the firm agreed to the merger when it would be put to a vote in the next few weeks.

According to McComb the companies believed that their businesses would demonstrate the value of the mutual model through consolidation of their considerable individual financial strengths while maximising joint skills and capabilities to deliver a broader range of products and services to help families of all ages at key life stages,moneymarketing reported.