Japanese insurer Sumitomo Life Insurance is set to acquire Singapore Life Holdings (Singlife) in a landmark deal valued at $4.6 billion, marking one of the largest insurance transactions in the region. Sumitomo Life will purchase asset manager TPG’s 35% stake in Singlife for $1.6 billion and aims to fully acquire the remaining shares from minority investors, making Singlife a wholly owned subsidiary. The acquisition, part of Sumitomo Life’s Southeast Asia strategy, is expected to be completed in Q1 2024, pending regulatory approvals in Japan and Singapore.

Singlife, initially invested in by Sumitomo Life in 2019, views Singapore as integral to Sumitomo’s Southeast Asia plans, and the deal is anticipated to enhance Sumitomo’s international business portfolio. Singlife assures that its operations, including its name, brand, management team, and customer impact, will remain unchanged under Sumitomo Life’s ownership. Sumitomo Life expresses full support for Singlife’s growth plans in Singapore and the broader region.

Singlife Chairman Ray Ferguson notes the significant growth of the insurer since its inception as a small insurtech startup, emphasizing the advantages of becoming a Sumitomo Life subsidiary. Sumitomo Life President and CEO Yukinori Takada view the long-term investment as pivotal for regional growth and highlights Singlife’s expansion in digital-enabled business and diverse product offerings.

Founded in 2014, Singlife ranks among the top six insurers in Singapore, with total assets of $14.4 billion as of December 31, 2022. The deal follows Sumitomo Life’s earlier increase in stake in Singlife in November and the acquisition of a stake in September from Aviva. Singlife had previously collaborated with TPG and Sumitomo to acquire a majority stake in Aviva’s Singapore business in 2020.