Global firm Blackstone will receive the largest return from the $NZ1 billion sale of New Zealand life insurance company Partners Life but local private capital firms will also share in the returns.
Partners Life, which was launched only 12 years ago, has been acquired by Japan-based global life insurance specialist Dai-ichi Life Holdings. Dai-ichi Life has acquired 100% of Partners Group Holdings Limited, the parent company of the insurance business, Partners Life Limited.
The New Zealand Herald reported: “Partners Life share registry shows the largest shareholder currently is US private equity firm Blackstone Group through its subsidiary Immortality Pte followed by Partners Group Nominee Company with 21%. New Zealand’s Maui Capital Acqua fund is the third largest shareholder with 9.3%. Rangatira, Stahl Capital, Masfen Securities, Kibo Investments and Waterman Capital also have minority stakes.”
The acquisition is subject to customary conditions including regulatory approvals.
Announcing the deal on 12 August, Partners Life managing director Naomi Ballantyne said Dai-ichi Life was fully committed to Partners Life remaining a stand-alone New Zealand business under the current executive management team.
She said the transaction would represent a “positive outcome” for the company’s shareholders while providing the necessary capital to develop the business through its next phase.
Partners Life currently insures more than 225,000 lives, has $427.9 million in annual premiums in force (as at 31 March), has paid in excess of $869 million in accumulated claims since inception, and employs 268 staff.
Partners Life entered into an agreement to buy the BNZ Life insurance business from BNZ’s parent company NAB (ASX: NAB) for $NZ290 million in December 2020. That transaction remains pending Reserve Bank of New Zealand approval.
Image: Partners Life managing director Naomi Ballantyne.