Principal Financial Group To Buy MetLife Afore In Mexico - Quick Facts

(RTTNews) - Principal Financial Group Inc. (PFG) said it has agreed to acquire full ownership of MetLife Afore, S.A. de C.V., MetLife, Inc.'s (MET) pension fund management business in Mexico, subject to regulatory approval.

With nearly 25 years in Mexico, Principal said it is committed to growing across its mandatory pension, voluntary long-term savings, and mutual funds businesses.

"As the middle class in emerging markets continues to grow, there is increasing demand for long-term retirement and investing products that enable individuals to retire with the highest pension possible. This acquisition strengthens our commitment to Mexico's pension market," said Roberto Walker, president of Principal International in Latin America.

By integrating MetLife Afore into Principal Afore, S.A. de C.V., Principal Financial noted that it will gain additional scale, a larger distribution network and the capacity to better support its customers in Mexico with innovative advice and customized tools that help them achieve their retirement goals.

After closing, Principal Afore will be the fifth largest pension provider in Mexico in terms of assets under management.

The purchase agreement between Principal and MetLife will be reviewed by Mexican regulatory authorities before closing, which is anticipated during the first quarter of 2018.