Nippon Life acquiring 80% of MLC for US$2.4 billion

SYDNEY – Nippon Life Insurance has entered into a definitive agreement to acquire 80% of the outstanding shares of MLC Limited, a subsidiary of National Australia Bank, for US$2.4 billion. As part of the arrangement, MLC will enter a 20-year distribution agreement with NAB.

Ashhurst Lawyers, who advised Nippon Life in the deal, said NAB will continue to hold 20% of NAB, which will become a subsidiary of Nippon Life. The transaction is the first overseas majority acquisition by Nippon Life.

The transaction is subject to regulatory approval in both Japan and Australia.  www.ashurst.com (ATI).