British insurer Legal & General is lining up investment bank Rothschild to oversee a potential sale of its housebuilder arm Cala, a source familiar with the matter told Reuters, as new chief executive Antonio Simoes weighs a strategic overhaul.
Legal & General (L&G) has held discussions with Rothschild about potentially running a sales process for Cala, but no final decision on offloading the business has been made, the source said.
Sky News first reported on the discussions. Cala did not immediately respond to a request for comment.
Simoes took the helm at the FTSE 100 company at the start of this year, and said earlier this month he was “taking a fresh perspective” on the business and planned to outline a new strategy at a capital markets event in June.
L&G has already refreshed its roster of advisers this year to help Simoes formulate a new strategy, including hiring Robey Warshaw and JPMorgan, Reuters reported earlier this month.
L&G took full control of British housebuilder Cala in 2018. In its last full set of accounts for 2022, Cala sold more than 3,000 homes and reported revenue of 1.4 billion pounds ($1.8 billion).
Source: Reuters.com