Manulife Offloads $4.3 Billion Policies, Releases Capital for Shareholders

Manulife Offloads $4.3 Billion Policies, Releases Capital for Shareholders

By
Alessandro Rossi
1 min read

Manulife Financial Corp has struck a deal to reinsure $4.3 billion of Canadian policies with RGA Life Reinsurance Co. of Canada. The deal will enable the Toronto-based insurer and asset manager to release $800 million in capital, which it plans to return to shareholders through share buybacks. Manulife will continue to administer the policies, which are a block of Canadian universal life-insurance policies with a low return on equity. This development aligns with the company's strategic efforts to optimize its portfolio and enhance shareholder value.

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