MassMutual International LLC – Massachusetts Mutual Life Insurance Company's international insurance holding company – and Nippon Life Insurance Co., Japan'sleading life insurer, today announced the completion of the sale of 85.1 percent of MassMutual Japan, MassMutual International's wholly owned life insurance and wealth management affiliate, to Nippon Life.
With this transaction – announced on March 2, 2018, when the two companies first struck an agreement – MassMutual International will retain 14.9 percent of the company, and will receive approximately JPY 104.2 billion (about USD 955 million) in cash consideration for the sale of the remainder. Further, MassMutual Japan now becomes an affiliate of the Osaka-based mutual life insurer Nippon Life, and will be known as Nippon Wealth Life Insurance Company Ltd., effective on January 1, 2019.
Additionally, in connection with the closing of the sale of MassMutual Japan, MassMutual and Nippon Life are entering into a strategic cooperation agreement for exploring partnership opportunities.
"We are pleased to close on our transaction with Nippon Life, as it will deliver significant value to our policyowners, while expanding our ability to participate in select and attractive Asian markets," said Roger Crandall, Chairman, President and CEO, MassMutual. "This transaction is aligned with our broader international strategy of forging distinct, mutually beneficial partnerships with successful, innovative companies to capitalize on emerging global opportunities."
"Our partnership with Nippon Life will truly be positive to both firms, as we share much more than the fact we are mutual companies and leaders in the life insurance market, but also the core values of transparency and integrity," said Eddie Ahmed, Chairman, President and CEO of MassMutual International. "Further, MassMutual Japan's current policyowners and customers will benefit from the financial strength – and backing – of Japan's leading domestic life insurer and gain greater access to an even broader range of high quality, holistic financial solutions for all phases of life."
The transaction represents an additional step in MassMutual's evolving international presence, amplified by MassMutual International's announcement in August 2017 to enter into a transaction to sell its Hong Kong-based life insurance business, MassMutual Asia, to a group led by Yunfeng Financial Group. Additionally, it reinforces MassMutual's unwavering commitment to providing long-term value to its policyowners and customers.
About MassMutual MassMutual, headquartered in Springfield, Mass., is a leading mutual life insurance company that is run for the benefit of its members and participating policyowners. MassMutual offers a wide range of financial products and services, including life insurance, disability income insurance, long term care insurance, annuities, retirement plans and other employee benefits. The company's major affiliates include asset management firms Barings LLC, and OppenheimerFunds, Inc.; as well as First Mercantile Trust Company; MassMutual International LLC; MML Investors Services, LLC, Member FINRA and SIPC; and The MassMutual Trust Company, FSB. For more information, visit www.massmutual.com.
About Nippon Life Insurance Company Nippon Life is Japan's leading private life insurer with revenues of approximately 5,422 billion Yen (USD 50.6 billion) and profits of over 722.7 billion Yen (USD 6.7 billion). Since its foundation in 1889, Nippon Life has been offering a wide range of products, including individual and group life and annuity policies through various distribution channels. Nippon Life also provides asset management business through subsidiaries and affiliates, meeting diversifying customers' needs. Nippon Life employs more than 70 thousand people and has operations in Japan, North America, Europe and Asia. For more information, please visit http://www.nissay.co.jp/english/.
