Resolution Life Australasia has agreed to acquire AIA Australia’s A$8.2 billion ($5.8 billion) pension and investment business, the two companies said in separate announcements.
Financial details of the deal were not disclosed.
AIA had acquired this business – with A$6.7 billion in assets under management and A$1.5 billion in assets under administration – in April 2021 with the completion of its purchase of the life insurance business and Commonwealth Bank of Australia investment fund.
AIA said in a press release that it will focus on “life, health and well-being”, while selling retirement and investment assets to Resolution Life, where these businesses are “an essential part of their offer.
Resolution Life’s press release says the Australasian branch of Bermuda-based Resolution Life Group Holdings Ltd., with approximately A$30 billion in assets under management, is the largest life insurer by assets serving Australia and New Zealand.
The company said it is “focused on acquiring and managing portfolios of life insurance policies.”
The agreement to purchase AIA’s pension and investment portfolio will bring Resolution Life Australasia’s assets under management to approximately A$36.7 billion, a spokeswoman said.
The acquisition, which is expected to be completed within 12 to 18 months, will add 162,000 AIA Australia customers to Resolution Life’s existing customer base of 1.1 million Australasians, according to the press release.