Tokyo based MS&AD Insurance Group Holdings, Inc. have acquired an approximate 6.3% of outstanding shares of Challenger Ltd. for 44 billion Japanese yen (500 million AUD). MS&AD is the largest general insurer in Japan and has expressed an aim to grow its holding over the next 12 months to 10%.
Challenger has been working with Mitsui Sumitomo Primary Life Insurance Company Limited (MS Primary), a subsidiary of MS&AD, since 2016 and expects this new development in their strategic relationship to broaden their opportunities in the Japanese market. Likewise, this partnership also works to offer MS&AD invaluable insight into the Australian model of superannuation whilst also expanding their portfolio.
Challenger is a Platinum Sponsor of ANZCCJ and its Japan Offices are headed by Executive Council member, Kohei Tsushima. According to Tsushima, Challenger's priority is to "to grow our funds management business and extend on our strategic relationship with MS&AD. This is a long term commitment by Challenger to invest in Japan."
Further information regarding this deal can be found here.
Information regarding Challenger can be found on their website here.