Sun Life Financial is buying Genworth Financial’s U.S. group benefits business for US$650 million.

The business provides group life, disability, medical stop loss and dental insurance to approximately 32,000 organizations and serves 2.9 million plan participants.

“This acquisition solidifies Sun Life’s top 10 position in the U.S. Group business,” says Sun Life CEO Donald A. Stewart, “and demonstrates our continued delivery on key shareholder commitments.”

The deal is expected to close in the second quarter and is subject to approval by Canadian and U.S. regulatory authorities.

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