Sun Life Assurance Company of Canada has signed an agreement with PVI Holdings to acquire an additional 26% stake in Vietnam-based joint venture (JV) insurance firm, PVI Sun Life Insurance.
The deal will increase Sun Life’s interest in PVI Sun Life Insurance to 75% from the current 49%. Terms of the deal have not been disclosed.
Established in 2013, PVI Sun Life is claimed to be the sixth largest provider of life insurance products in the country.
The company also provides pension products for its customers in Vietnam.
According to Sun Life Financial, PVI Sun Life benefits from both parties by leveraging Sun Life’s global expertise and experience in life insurance and pensions and PVI’s strong Vietnamese brand, reputation, customer base and distribution strengths.
Sun Life Financial Asia president Kevin Strain said: "As we increase our ownership in PVI Sun Life, we look forward to further sharing Sun Life’s enterprise and regional Asian expertise and capabilities with the company.
"We are committed to helping the Vietnamese people achieve lifetime financial security by offering a strong suite of insurance and wealth management products."
PVI CEO Bui Van Thuan said: "PVI is pleased to be continuing its successful partnership with Sun Life and will remain deeply involved in PVI Sun Life both as a strategic investor and as a distribution partner."
Subject to regulatory approvals in Vietnam and Canada, the deal is expected to complete in the first quarter of 2016.
In September this year, Sun Life Assurance Company of Canada agreed to acquire US-based Assurant’s employee benefits business, for around $975m.
Image: Sun Life Financial Canadian headquarters in Waterloo, Ontario. Photo: courtesy of Giligone.