LONDON  - The Abu Dhabi Investment Authority (ADIA) said on Tuesday its private equity department would acquire a stake of up to 21.4 percent in Pension Insurance Corporation Group from funds advised by private equity firm J.C. Flowers & Co.

Hamad Shahwan Aldhaheri, executive director of ADIA's private equity department said the investment, subject to regulatory approvals, demonstrates the department's ongoing strategy to seek out "principal investments in market-leading businesses".

PIC Group has become one of the world's biggest investors in bulk annuities, which cover the pension obligations of defined benefit, or final salary, pension schemes for staff.

ADA was advised on the transaction by Credit Suisse, Ernst & Young, Oliver Wyman and Allen & Overy.

J.C. Flowers was advised by Evercore EVR.N and Paul Weiss, Rifkind, Wharton & Garrison.

(Reporting by Emma Rumney, editing by Sinead Cruise) ((Emma.Rumney@thomsonreuters.com; +442075428644;))