TOKYO and SPRINGFIELD, Mass., May 31, 2018 – MassMutual International LLC (MassMutual International) – Massachusetts Mutual Life Insurance Company’s (MassMutual) international insurance holding company – and Nippon Life Insurance Co. (Nippon Life), Japan’s leading 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.
