MLC Life to merge with Resolution Life to create Acenda
MLC Life Insurance is to merge with Resolution Life Australasia forming what will be one of the nation’s largest life insurance businesses, Acenda.
The merge results from MLC Life’s parent, Nippon Life Insurance Company acquiring 100% of Resolution Life. On completion of the transaction, MLC Life and Resolution Life Australasia will merge to create the new business.
Under the transaction, Nippon Life will also acquire the 20% share of MLC Life Insurance that National Australia Bank (NAB) has retained since 2016, when Nippon Life acquired the 80% stake in MLC Life Insurance.
As a part of the transaction, NAB has agreed to provide, for a period of 3 years post completion, an amount of contingent Tier 2 capital support to Acenda.
I wonder if Nippon Life is aware that personal insurance in Australia is in a death spiral, due to bad regulation and the mental health “epidemic”?
Have the unsuspecting Japanese become the target for offloading dud assets before things become too obvious?