Pearl Assurance, the UK closed life funds administrator led by Hugh Osmond, has secured the recommendation of Resolution's board without having to raise its £5bn (€7bn) bid for the life assurer after seeing off a rival bid from Standard Life.

Pearl, which has been building its stake in Resolution since April and which said in July that the recommended merger between Resolution and Friends Provident announced that month would not maximise value, said in a statement today it has reached agreement with the board of Resolution, led by chairman Clive Cowdery, for a bid worth 720p per share.