Corebridge Financial, one of the largest providers of retirement solutions and insurance products in the US, has entered into a definitive agreement to sell its subsidiary, Laya Healthcare Limited (Laya Healthcare), to AXA for a total consideration of €650 million in cash.
According to the announcement, the sale is expected to close in the fourth quarter of 2023, subject to regulatory approvals and other customary closing conditions.
Laya Healthcare, the second largest health insurance provider in Ireland, is a full-service MGA headquartered in Cork, Ireland.
The company offers a wide range of innovative health insurance benefits and services in the Irish health insurance market, along with life insurance and travel insurance.
Peter Zaffino, Chairman and Chief Executive Officer of majority shareholder American International Group (AIG), and Chairman of the Board of Directors of Corebridge, said: “This divestiture allows Corebridge to streamline its portfolio and focus on core Life & Retirement products and solutions in the United States. AXA is an excellent owner for laya healthcare, with a global platform that will enable the business to continue to build on the success of its highly regarded member-centric approach to health insurance.”
Kevin Hogan, President and Chief Executive Officer of Corebridge, commented: “Since AIG’s acquisition of laya healthcare in 2015, the company has solidified its position as a leading wellness and connected healthcare provider, while developing a strong track record of growth and profitability. We look forward to working with the AXA team and our laya healthcare colleagues on a smooth transition of the business.”
Morgan Stanley & Co. LLC acted as financial advisor and A&L Goodbody LLP acted as legal counsel to Corebridge.
In their Q123 results, Corebridge Financial reported a $459 million net loss, representing a 114% decrease compared to the same period last year.
