Nippon Life Insurance, Japan’s largest insurer, has announced plans to acquire the remaining shares it does not already own in Resolution Life Group Holdings for approximately $8.2 billion in an all-cash transaction. This move marks Nippon Life’s largest overseas acquisition and underscores its strategy to bolster its position in the U.S. market.
The deal, which represents the second major acquisition by Nippon Life this year, highlights the growing interest among Japanese insurers to expand internationally. With Japan’s aging and shrinking population limiting domestic growth opportunities, insurers are increasingly looking abroad for growth prospects. Hiroshi Shimizu, president of Nippon Life, emphasized the company’s long-standing desire to strengthen its presence in the U.S., the world’s largest insurance market.
“We have wanted to own a business that could be core in the largest global insurance market—the U.S.A.,” Shimizu said during a news conference. “Resolution is an excellent company in a market that will grow, so we want to secure its potential.”
Nippon Life already holds a 23% stake in Bermuda-based Resolution Life and plans to complete the acquisition by making it a wholly owned subsidiary in the second half of 2025. The deal values Resolution Life at $10.6 billion, and the company will continue to be led by Chairman and CEO Clive Cowdery.
In addition to acquiring Resolution Life, Nippon Life will also purchase the remaining 20% stake it does not own in MLC Life from National Australia Bank for approximately A$500 million ($320 million). The two companies will merge to form a new primary life insurer, Acenda, under Resolution Life Australasia.
Nippon Life’s U.S. expansion efforts have accelerated this year. In addition to the Resolution Life deal, the company closed the purchase of a 21.6% stake in U.S. insurance firm Corebridge Financial for $3.8 billion. Last year, Nippon Life also expanded its domestic business by acquiring nursing care provider Nichii Holdings for $1.4 billion.
The company has set ambitious global expansion goals, aiming to double its core operating profit to around 1.4 trillion yen by 2035.
Resolution Life, established only seven years ago, focuses on purchasing existing insurance policies from insurers in the U.S. and other countries. The company currently manages $85 billion in assets and holds 4.3 million policies.
Blackstone, a key partner in managing Resolution Life’s investments in private credit and real estate, will continue its involvement following the acquisition by Nippon Life.
In recent years, Japan’s property and casualty insurer Tokio Marine Holdings has been particularly active in cross-border mergers and acquisitions, with notable deals including the $7.5 billion acquisition of HCC Insurance Holdings in 2015.
Cross-border M&A activity among Japanese companies has surged in 2024, signaling an increasing drive for global expansion.
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