Resolution Life Australasia has announced the acquisition of Asteron Life New Zealand for NZ$410 million ($370 million) from Suncorp Group Limited to form one of New Zealand’s largest life insurance businesses.
“New Zealand is an important market for Resolution Life with the acquisition providing significant scale, capability and growth prospects in this market,” Resolution Life said.
Following the completion of the deal, Asteron Life will remain open to new business, operating under the Asteron Life brand as a stand-alone New Zealand licensed and incorporated life insurance company.
Meanwhile, Asteron Life will be led by Grant Willis as chief executive, and the firm’s New Zealand subsidiary will be overseen by the Asteron Life board, chaired by Simon Tyler.
Resolution Life Australasia chief executive Tim Tez said the deal solidifies the firm’s commitment to working with business owners to deliver the best outcomes for all relevant parties.
“We are delighted to have successfully completed the acquisition of Asteron Life. This is a further demonstration of our commitment to growth in the New Zealand market and reaffirms our capability in the acquisition and integration of complex transactions; working in close partnership with current owners,” Tez said.
“While Asteron Life and Resolution Life will continue to operate under separate brands in New Zealand, both businesses will benefit from the combined scale, capabilities and broader reach in the local market.
“We look forward to welcoming our new colleagues, customers and advisers, and remain committed to ensuring a smooth integration process that prioritises a good experience.”
This news comes less than two months after the merger of MLC Life Insurance and Resolution Life Australasia was announced following Nippon Life Insurance Company’s total acquisition of the two life insurers in December to form one of Australia’s largest insurers, operating under the name Acenda.
While Nippon Life had already acquired an 80 per cent stake in MLC Life in 2016, this deal saw Nippon acquire the remaining 20 per cent that National Australia Bank had retained, in addition to acquiring 100 per cent of Resolution Life Australasia.
In a statement at the time, the group said Acenda will “focus on growth and remain open to new business”, leveraging MLC Life’s “best in claims” philosophy and Vivo health wellness offering while utilising Resolution’s digital solutions and retirement product suite to meet the shifting needs of its customers.
