Labelled a ‘transformational’ transaction, creating a global leader in life insurance, the $11bn acquisition of US-based John Hancock by Manulife of Canada is speculated to redraw the boundaries of the North American life insurance sector by triggering a number of other mergers. The transaction also points to a strengthening of a single marketplace in North America.
The merged entity becomes the second-biggest life insurer in North America and the fifth-biggest globally. Analysts have lauded the deal as a perfect fit, with highly complementary strengths across products, geographic exposure and investment skills.
