Sun Life To Sell U.S. Annuity Business
|PR Newswire Association LLC|
Transaction advances Sun Life's strategy of reducing its risk profile and focusing U.S. insurance operations on its growing employee benefits and voluntary benefits franchises
Employees of Sun Life Financial U.S. in
The transaction is expected to close by the end of Q2 2013 subject to regulatory approvals and customary closing conditions.
Connor added, "Consistent with our Four Pillar strategy unveiled in March, we will continue to invest in both our U.S. employee benefits business, which is already a top 10 player, and in our growing voluntary benefits business. We have made excellent progress in growing both of these businesses in 2012. We will also continue to support growth in MFS, our highly successful investment manager that has a large U.S. presence and over
The transaction will consist primarily of the sale of 100% of the shares of
Morgan Stanley & Co. LLC served as financial advisor to
The information contained in this document is in Canadian dollars unless otherwise noted.
The investor conference call will be archived and made available until
In this section, "we", "us", "our" and the "Company" refers to
Certain statements in this news release are forward-looking, including, but are not limited to, (i) the anticipated timing of the closing of the sale of our U.S. annuity business, (ii) the reduction in book value as a result of the transaction, (iii) the expected reduction in our exposure to the equity markets and interest rates and the expected reduction in our earnings volatility, (iv) the estimated impact of the business sold on our earnings in 2013, (v) the expected impact on the
The forward-looking statements in this news release represent our current expectations, estimates and projections regarding future events and are not historical facts. These forward-looking statements are not a guarantee of future performance and involve risks and uncertainties and are based on key factors and assumptions, including without limitation, the assumption that the transaction will be completed and other assumptions set out in this news release, all of which are difficult to predict. The forward-looking statements do not reflect the potential impact of any non-recurring or other special items or of any dispositions, mergers, acquisitions, other business combinations or other transactions that may be announced or that may occur after
The forward-looking statements contained in this news release describe our expectations, estimates and projected future events as at
Forward-looking statements are presented for the purpose of assisting investors and others in understanding our expected financial position and results of operations as at the date of this news release, as well as our objectives for the transaction, strategic priorities and business outlook following the transaction, and in obtaining a better understanding of our anticipated operating environment following the transaction. Readers are cautioned that such forward-looking statements may not be appropriate for other purposes and undue reliance should not be placed on these forward-looking statements.
Actual results could differ materially from those expressed in or implied by the forward-looking statements in this news release due to various risk factors, including without limitation: (1) the ability of the parties to complete the transaction; (2) failure of the parties to obtain necessary consents and approvals as required under the definitive agreement or to otherwise satisfy the conditions to the completion of the transaction in a timely manner, or at all; (3) failure to effectively or efficiently restructure and reorganize the Company's remaining businesses after the transaction has closed; and (4) the impact of the announcement of the transaction and the dedication of the Company's resources to the completion of the transaction and the effect of the transaction on our continuing operations in the U.S. These risks all could have an impact on the Company's business relationships (including with future and prospective employees, customers, distributors and partners) and could have a material adverse effect on the current and future operations, financial conditions and prospects of the Company.
Additional risk factors that could affect the purchase price adjustment can be found in