Brookfield Asset Management Reinsurance Partners has entered into agreement to acquire life and health insurer American National for $5.1bn.
The deal received unanimous approval from American National’s board of directors and will see Brookfield paying $190 per share.
Upon completion of the deal, Brookfield Reinsurance said it plans to keep American National’s headquarters in Galveston, Texas and its presence in League City, Texas, as well as operational hubs in Springfield, Missouri and Albany, New York.
Commenting on the deal, Brookfield Reinsurance CEO Sachin Shah, said the acquisition represented a significant milestone in the continued expansion of the insurance business.
“American National’s management team has a strong track record of stable growth and disciplined underwriting,” he said.
“We are excited to partner with them, and the dedicated American National employee base and distribution partners, as we look to further grow the business and maintain a strong franchise for the benefit of all stakeholders.”
American National president and CEO Jim Pozzi added: “Our two companies share a long-term view of building strong, enduring businesses.
“Brookfield Reinsurance has been very clear: they want us to continue to grow our business, together with our leadership team and our excellent team of employees and distribution partners.
“I would like to thank our board of directors, particularly our strategic opportunities committee of independent directors, which conducted a thorough review of a range of strategic alternatives and possible business opportunities to maximize value for our stockholders.
“The transaction provides clear and immediate value for our stockholders at an attractive premium.”