MEXICO CITY--(BUSINESS WIRE)--
Today, Principal Financial Group® announced it has signed an agreement
to acquire full ownership of MetLife Afore, S.A. de C.V. (“MetLife
Afore”), MetLife, Inc.’s pension fund management business in Mexico,
subject to regulatory approval. With nearly 25 years in Mexico,
Principal is committed to growing across its mandatory pension,
voluntary long-term savings, and mutual funds businesses.
“As the middle class in emerging markets continues to grow, there is
increasing demand for long-term retirement and investing products that
enable individuals to retire with the highest pension possible,” said
Roberto Walker, president of Principal International in Latin America.
“This acquisition strengthens our commitment to Mexico’s pension market.”
By integrating MetLife Afore into Principal Afore, S.A. de C.V.
(“Principal Afore”), Principal will gain additional scale, a larger
distribution network and the capacity to better support its customers in
Mexico with innovative advice and customized tools that help them
achieve their retirement goals. After closing, Principal Afore will be
the fifth largest pension provider in Mexico in terms of assets under
management.
“This acquisition demonstrates our continued commitment to invest in
Mexico,” said Jose Antonio Llaneza, country head for Principal Mexico.
“Our focus remains on providing superior performance and counsel, while
helping to educate people on the importance of increasing their
contribution rate to their pension accounts.”
The purchase agreement between Principal and MetLife will be reviewed by
Mexican regulatory authorities before closing, which is anticipated
during the first quarter of 2018.
“The divestiture of MetLife Afore will allow us to enhance our focus on
growing our leading insurance business in Mexico, where we are the
number one provider of life insurance,” said Oscar Schmidt, executive
vice president and head of MetLife’s Latin America region. “We are
confident that Principal will provide our Afore clients in Mexico with
access to quality resources and capabilities to help them achieve their
retirement goals.”
BNP Paribas Securities Corp. and Credit Suisse Securities (USA) LLC
served as financial advisors on the transaction to Principal and
MetLife, respectively. White & Case LLP served as legal counsel for
Principal and Nader, Hayaux y Goebel, S.C. for MetLife.
About Principal®
Principal helps people and companies around the world build, protect and
advance their financial well-being through retirement, insurance and
asset management solutions that fit their lives. Our employees are
passionate about helping clients of all income and portfolio sizes
achieve their goals — offering innovative ideas, investment expertise
and real-life solutions to make financial progress possible. To find out
more, visit us at principal.com.
About MetLife
MetLife, Inc. (NYSE: MET), through its subsidiaries and affiliates
(“MetLife”), is one of the world’s leading financial services companies,
providing insurance, annuities, employee benefits and asset management
to help its individual and institutional customers navigate their
changing world. Founded in 1868, MetLife has operations in more than 40
countries and holds leading market positions in the United States,
Japan, Latin America, Asia, Europe and the Middle East. For more
information, visit www.metlife.com.
Principal, Principal and symbol design and Principal Financial Group are
trademarks and service marks of Principal Financial Services, Inc, a
member of the Principal Financial Group.
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Source: Principal Financial Group