MetLife in Advanced Talks to Acquire PineBridge Investments' Assets

Investing.com — MetLife (NYSE:MET) is in advanced deliberations to purchase PineBridge Investments' assets outside of China in a deal valued between $1 billion and $1.5 billion, according to Bloomberg News.

The U.S. insurer is exclusively negotiating with PineBridge, which is majority owned by Hong Kong billionaire Richard Li's Pacific Century Group, regarding its assets under management totaling around $100 billion.

Bloomberg reports that MetLife has outbid other financial institutions, positioning itself as the most likely buyer. The exclusivity of the discussions allows MetLife to finalize deal details in the coming weeks.

Pacific Century is considering the sale of PineBridge, excluding its China-based joint-venture with Huatai Securities, managing over $70 billion in assets.

Previously, Pacific Century purchased PineBridge from American International Group (NYSE:AIG) for $500 million in 2010, during AIG's asset divestment to repay government bailout funds. PineBridge has a diverse client portfolio, including official institutions, insurance firms, and pension plans.

While talks are at an advanced stage, ongoing discussions mean no final decision has been made, Bloomberg noted.

MetLife did not immediately respond to Reuters' request for comment, nor did PineBridge.

In premarket U.S. trading on Monday, shares in New York-based MetLife showed little change.

In July, MetLife reported stronger-than-anticipated second-quarter profits, benefitting from solid returns in its group benefits division. Net investment income increased to $5.21 billion for the three months ended June 30, compared to $5.07 billion in the previous year, reflecting gains from higher yields on fixed-income assets. Insurers like MetLife continue to invest portions of premium-generated cash into low-risk assets and market-linked securities.

(Reuters contributed reporting.)