AIA Group Limited's subsidiary, AIA Australia Limited, has agreed to sell its Australian Savings and Investments business to Resolution Life Australasia Limited, focusing on core operations in life, health, and wellness.

Target Information

AIA Group Limited, a prominent player in the insurance sector, has announced that its wholly-owned subsidiary, AIA Australia Limited, will be selling its Australian Savings and Investments (S&I) business to Resolution Life Australasia Limited. The Australian S&I business encompasses an in-force portfolio that includes superannuation, retirement, and investment products, holding over AUD 8 billion in funds under administration. However, it primarily consists of products that are closed to new business.

This portfolio was integrated into AIA Australia following its strategic acquisition of The Colonial Mutual Life Assurance Society Limited from the Commonwealth Bank of Australia (CBA). Given the importance of aligning business operations with core strategic goals, AIA has determined that the S&I business does not fit within its long-term vision for growth and value creation in the life, health, and wellness sectors.

Industry Overview in Australia

The Australian insurance industry is characterized by a robust regulatory framework and a diverse product offering, catering to both individual and institutional customers. Superannuation schemes have gained significant traction as a mandatory retirement