Aviva to take three top jobs in Friends deal

The three top jobs at the heart of a combined Aviva and Friends Life are set to go to executives from the larger of the two insurers.

The Sunday Telegraph understands that Aviva will claim the chairman, chief executive and chief financial officer roles if the £20bn-plus merger is approved by both company’s boards and their shareholders.

The deal, which was announced to investors after the market closed on Friday night, is being structured as an all-share combination between the two companies.

But given that Aviva will account for three-quarters of the value of the enlarged company, it is expected to claim the lion’s share of the major boardroom roles. Aviva chief Mark Wilson and his finance director, Tom Stoddard, are being lined up for the equivalent roles in the expanded group, which is likely to keep the Aviva name.

Incoming Aviva chairman Sir Adrian Montague, who is due to replace the departing John McFarlane, will also claim the equivalent seat.

Andy Briggs, chief executive of Friends Life, is believed to be likely to stay on, perhaps in some form of UK or wider role. It is thought possible Friends will be allocated a number of directorships on an expanded board to placate shareholders, who are to be offered 0.74 Aviva shares for each Friends share. On that basis, based on Friday night’s closing share price, the enlarged group would be worth £20.81bn.

Aviva declined to comment.