Principal Financial nears insurance units sale to Talcott Resolution, sources say
BPC Staff Jan 20, 2022 | 4:49 pm
<1 min read time108 wordsAll Latest News, Banking & Finance, Insurance & Investments, Iowa News
Reuters: Principal Financial Group is in advanced talks to sell two of its units, with capital reserves totaling $25 billion, to peer Talcott Resolution Life Insurance Co., according to people familiar with the matter. The deal would be the culmination of a strategic review that Principal launched last year after coming under pressure from activist investment firm Elliott Management Corp. to shed its low-growth and capital-intensive businesses. Principal has said it will use part of the proceeds to fund an increase in its share buyback program. The talks involve Principal’s U.S. retail fixed annuity business and its unit for universal life insurance with secondary guarantees, the sources said.