This paper discusses some of the challenges in valuing insurance companies under the Solvency II framework and proposes a possible valuation methodology to meet the needs of potential investors with a certain perspective in mergers and acquisitions transactions. Whilst under Solvency II a number of factors may influence distributable profits, the authors believe that the most important drivers, particularly in the medium to long term, will be the required level of Solvency II capital and the own funds available and eligible to cover it.