AMP sells multibillion-dollar life insurance division
King & Wood Mallesons and Chapman Tripp have advised AMP on the sale of its Australian and New Zealand life insurance division.
Firms: King & Wood Mallesons (AMP); Chapman Tripp (AMP); Undisclosed (Resolution Life)
Deal: AMP has sold its Australia and New Zealand wealth protection and mature business (AMP Life) to Resolution Life.
Value: The sale will see AMP receive $1.9 billion in cash, $300 million in preference shares and retain a $1.1 billion ongoing interest in AMP Life, according to a statement from KWM.
Key players: The KWM team was led by partner Jason Watts, along with partners Nathan Hodge, Henrik Moritz, Patrick Gunning, Andrew Gray and Daniel Natale, with assistance from special counsel Bryony Evans and Andrew Phillipson and senior associates Jennifer Cheung, Adrian Donato and Rahul Mukherjee.
Chapman Tripp advised on the New Zealand aspects of the deal. The team there was led by partners Roger Wallis and Tim Tubman, along with partners Bevan Miles and Mike Woodbury, and senior associates Luke Bowers, Greer Fredricson, Phoebe Gibbons, Jeremy Gray.
Deal significance: According to the KWM statement, the deal is subject to regulatory approvals in Australia and New Zealand, with the sale due to complete in the second half of 2019.
“We were pleased to assist AMP in achieving their strategic objectives of the sale – the pathway to a simpler, more agile business that will enable AMP to focus on its higher growth businesses," KWM partner Jason Watts said.