Hartford life insurer the Phoenix Cos., which has faced financial and accounting issues for the past six years, is exploring a possible sale, Reuters reports.
The company, which is famously housed in downtown Hartford’s Boat Building, has hired Goldman Sachs Group and Sandler O’Neill and Partners to help with a possible sale, Reuters reported, citing unnamed sources.
The potential sale isn’t a big surprise considering the hardship Phoenix Cos. has faced since the Great Recession. The company experienced significant losses in its annuity business following the 2008 financial crisis, forcing it to lay off a chunk of its Hartford workforce and reshuffle its leadership team.
Current CEO James D. Wehr took over for Dona Young in April, 2009, following several quarters of significant investment losses and ratings downgrades, which cost Phoenix two of its major distributors at the time. More recently, the Phoenix Cos. has run into accounting issues, and was forced to restate its 2012 audited financial statements with the U.S. Securities & Exchange Commission.
Asked Wednesday about the report, Phoenix spokeswoman Alice Ericson said: “As a matter of corporate policy, we do not comment on market speculation or rumors relating to our business.”
