Nippon Life Insurance, Japan’s largest private insurer, spends $8.2 billion on global life insurance company Resolution Life Group Holdings, marking the largest overseas acquisition in the insurance industry insurance in Japan.
The move underscores Nippon Life’s ambition to strengthen its global presence in a contracting domestic market due to Japan’s aging population and low interest rate environment.
Resolution Life, established in 2017, specializes in portfolio management of life insurance and reinsurance policies. With assets under management of $85 billion and 4.3 million policies, Nippon Life has a platform to enter the United States, the world’s largest life insurance market.
This acquisition transforms Resolution Life from an equity-accounted company into a subsidiary, aiming to consolidate Nippon Life’s presence in North America.
The deal also aligns with Nippon Life’s mid-term business plan, which emphasizes global expansion and aims to double the group’s core operating profit by 2035. Currently, only 4% of Nippon Life’s operating profit comes from international businesses. After the acquisition, this share is expected to reach 20%, thereby diversifying revenue sources and reducing dependence on the domestic market.
Additionally, the acquisition complements Nippon Life’s other recent investments, including a $3.8 billion stake in Houston-based Corebridge Financial. The integration of Resolution Life’s expertise with Nippon Life’s strong financial foundation is expected to unlock synergies in product offerings, operational efficiencies and customer service.
Additionally, the ongoing partnership with Blackstone will seek to strengthen asset management strategies and improve returns. The proposed acquisition supports Nippon Life’s long-term strategy and serves as a model for leveraging international acquisitions to drive growth.