Nippon Life to Acquire 20% Stake in Corebridge

Terms of the Nippon Life deal call for AIG to continue to own at least 9.9% of Corebridge shares for at least two years after the Nippon Life deal closing.

Nippon Life is a Tokyo-based insurer that had about $537 billion in reserves in 2023. Based on reserve totals, it's the third-biggest life insurer in the world, after Allianz and China Life, according to S&P Global Market Intelligence.

Nippon Life has employee benefits operations of its own in the United States, and it has had a close relationship with Principal Financial for about 20 years.

It acquired a 7% stake in Principal in 2008 and had a 7.67% stake in the company on March 10, according to a recent filing.

The thinking: Nippon Life said it sees itself as establishing a strategic partnership with both AIG and Corebridge.

Nippon Life noted that Corebridge is one of the largest retirement solutions and insurance providers in the biggest market in the world, and that the U.S. market is expected to grow steadily.

"By investing in Corebridge, Nippon Life aims to further grow Corebridge's business, and to establish a business foundation and network in the U.S. life insurance and retirement markets," the company said.

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