Nippon Life Insurance coverage is ready to make investments an additional $1bn in insurance coverage consolidator Decision Life, which has presence in Bermuda, Australia, New Zealand, the UK and US.
With this funding, which is predicted to be made within the second half of this yr, Nippon Life’s combination cumulative whole funding in Decision will attain $1.65bn.
The transaction awaits regulatory clearance.
It should improve Nippon Life’s holding in Decision Life to twenty%, making the latter an equity-method affiliate of Nippon Life, reported Nikkei Asia.
Underneath the tie-up, the 2 search new fairness capital commitments of $3bn for Decision Life, with an purpose to extend the consolidator’s whole fairness capital base to $8bn.
This features a $500m funding from Blackstone.
Blackstone Insurance coverage Options international head Gilles Dellaert mentioned: “We thank Nippon Life – a frontrunner in international life insurance coverage – for his or her partnership as we work with Clive and his workforce to assist drive the continued progress of Decision Life.
“We imagine Blackstone’s personal credit score and asset origination capabilities might help ship elevated worth to buyers and higher monetary safety to policyholders within the years forward.”
Decision Life specialises within the acquisition and administration of life insurance coverage portfolios.
In line with Nippon Life, the collaboration with Blackstone will velocity up Decision Life’s progress and strengthen its place within the international life and annuity consolidation area.
This will probably be facilitated by means of the combination of Blackstone’s insurance coverage asset administration experience and Decision Life’s international legal responsibility administration platforms.
The Japanese agency has been the biggest investor in Decision Life since 2019, having spent $650m thus far within the consolidator.