NU Online News Service, Oct. 23, 11:50 a.m. – Sun Life Financial Services of Canada Inc., Toronto, says it has agreed to sell Clarica Life Insurance Company’s Clarica U.S., Inc. subsidiary to Midland National Life Insurance Company, West Des Moines, Iowa, for $286 million in cash. The sale price includes repayment of some $48 million of existing Clarica U.S. debt, the company says.
The sale, which does not include Clarica’s U.S. reinsurance operations, is subject to approval from U.S. regulators, Sun Life notes. It expects the deal to close in the first quarter of 2003.
Sun Life Financial acquired Clarica on May 29, 2002.