Phoenix Group, parent of Standard Life, is in talks to raise more than £1 billion from private capital firms as it seeks to expand its pension-risk transfer business, according to a report in London newspaper The Financial Times.

Phoenix is currently changing its name to Standard Life plc. Phoenix acquired the Standard Life brand in 2021 from Aberdeen, which retains a 10.7% stake in Phoenix.

The report said Phoenix, the UK’s largest savings and retirement business, had held talks with firms including Blackstone, Sixth Street and KKR about a possible deal that would enable it to bid for more and larger buyouts of pension pots.

It said a final transaction could lead to Phoenix partnering with an asset manager to source and manage some assets.

The report said the new funds would allow the insurer to compete for more pension liabilities and the assets backing them.

The potential deal comes as Phoenix has been undertaking a strategic shift to manage more annuity-backed assets internally.

Phoenix said last month it would pull £20 billion from Aberdeen Group to manage itself.

Phoenix confirmed that it was in initial talks over “a potential third-party partnership to accelerate the growth” of its pension-risk transfer business.

It saidtalks were at an early stage and there was no certainty of an agreement.