08:41 AM EDT, 07/15/2024 (MT Newswires) -- iA Financial Group (IAG.TO) acquired two existing blocks of business from Prosperity Life Group in the U.S.

Financial details were not disclosed.

The insurance blocks are composed of Final Expense and Term Life products, amounting to over 115,000 policies and more than US$100 million in annual premiums.

Prosperity's distribution network will also sell iA Financial Group's products. Prosperity has a distribution network of about 15,000 sales agents contracted through Independent Marketing Organizations (IMOs). Two-thirds of these agents and IMOs already have an agreement with American-Amicable Life Insurance Company, a subsidiary of iA Financial Group. The others will be invited to do the same, iA Financial ( IAFNF ) said.

This acquisition will be accretive from the first year, both on a core and reported basis. The impact on iA Financial Group's solvency ratio will be around a 1 percentage point decrease.

The transaction is subject to ordinary closing conditions.