Dec 10, 2024 - Business

Nippon Life Insurance eyes Resolution Life, as Japan's market shrinks

Dan Primack

Illustration of a hurdle with the flag of Japan as the bar. — Illustration: Allie Carl/Axios

Nippon Life Insurance of Japan is in advanced talks to buy control of Bermuda-based insurer Resolution Life from investors like private equity giant Blackstone for $8.2 billion, as first reported by Nikkei.

Why it matters: It would be the largest-ever acquisition by a Japanese insurer, and reflects how the sector is seeking to diversify as the domestic population ages and shrinks.

Zoom in: Nippon Life already holds a 23% stake in Resolution Life, which offers insurance products in the U.S. and other global markets.

The $8.2 billion figure is for the piece that Nippon Life doesn't own. An announcement could come later on Tuesday or early Wednesday morning.
Blackstone originally bought in via a strategic partnership, and holds a minority position. The insurance asset management relationship is expected to continue, post-Nippon purchase.

The bottom line: Nippon Life's recent diversification efforts include the $3.8 billion purchase of a 21.6% stake in Houston-based Corebridge Financial from AIG, and the $1.4 billion acquisition of Japanese nursing home and child care firm Nichii.

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Nippon Life Insurance eyes Resolution Life, as Japan's market shrinks

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