Sun Life Financial Inc. has agreed to pay $650 million for the employee benefits business of Genworth Financial Inc.
Sun Life, Toronto, already has a substantial group insurance and medical-stop loss business in the United States.
Genworth, Richmond, Va., has a benefits business with 650 employees that provides group life, group disability, medical stop loss and group dental insurance for about 32,000 employers with 2.9 million plan participants.
The deal is subject to approval by U.S. and Canadian regulators. The companies hope to complete the transaction by June 30.