Henderson Global Investors has a 10-year contract to manage the closed life and pension books of all four life insurance companies it is selling to Life insurance Company Investor Group.

Last week, Henderson's parent group HHG exchanged contracts with Life Company Investor Group, formed by Sun and TDR Capital, to sell off the closed life and pension books of Pearl, National Provident Life, NPI and London Life for £1.025bn.

If and when the deal is consummated, it will leave HHG consisting only of Henderson Global Investors and Towry Law and the company will subsequently change names to become Henderson Group. Richard Acworth, head of corporate communication at HHG, confirmed the £1.025bn sum represented 79% of the embedded, or estimated future value, of the four life businesses' policies at 30 June this year.