Aquarian Holdings is closing in on a $4 billion agreement to acquire Brighthouse Financial, the US life insurer spun out from MetLife, in a move that would further consolidate the growing influence of private capital in the insurance industry.
People familiar with the talks said Aquarian – supported by Abu Dhabi’s Mubadala Capital – is preparing to pay up to $70 per share for Brighthouse, representing a substantial premium to its recent trading price. The deal could be confirmed within days, although those close to the process cautioned that negotiations remain fluid.
Led by Rudy Sahay, a former Guggenheim Partners executive, New York-based Aquarian has been at the forefront of deploying insurance assets into private credit, structured debt and property markets. The acquisition would mark a major expansion for the firm, multiplying its assets several times over and positioning it among the largest private equity-linked insurers globally.
Brighthouse, which manages roughly $120 billion in assets, has long faced headwinds as an independent company, particularly due to the capital-intensive nature of its variable annuity business. Analysts suggest that under Aquarian’s ownership, the insurer’s balance sheet would likely be redirected towards private debt and other alternative investments that promise higher yields than traditional bonds.
Goldman Sachs has been advising Brighthouse through the process, which initially attracted interest from heavyweight investment groups including Apollo, TPG, Sixth Street and Carlyle. However, several withdrew after reviewing the company’s financial position or declined to match Aquarian’s higher offer.
Mubadala Capital is expected to contribute significant equity financing, while banks are arranging more than $1 billion in debt to complete the transaction. The sovereign-backed firm last year committed $1.5 billion to Aquarian, underscoring Abu Dhabi’s strategic push into insurance-linked investment platforms.
If completed, the deal would continue a wave of similar moves in the US life sector, where alternative asset managers have been acquiring insurance carriers to secure stable long-term capital and redeploy it into higher-return private markets. Recent examples include takeovers of American Equity Life, Global Atlantic and Talcott Resolution by rival private capital firms.
Neither Aquarian, Brighthouse nor Mubadala Capital commented on the ongoing negotiations.
