Global law firm Ashurst has advised MUFG Bank, Ltd. on a SGD 550 million bilateral financing facility for Singlife. This is one of the largest transactions in Singapore's insurance sector to date and a market first.
The bespoke facility was arranged by MUFG as sole capital structure adviser and exclusive financier for Singlife, one of Singapore's leading homegrown financial services companies. As part of a comprehensive capital restructuring following its acquisition by Sumitomo Life, the proceeds enabled Singlife to redeem SGD 550 million in subordinated notes.
The transaction required sophisticated structuring. It addressed Singlife's capital management objectives to preserve capital strength, optimize balance sheet efficiency and maintain its credit ratings. The financing also enabled Singlife to achieve long-term funding certainty in a volatile interest rate environment.
Jean Woo, Partner and Singapore Office Managing Partner at Ashurst, commented:
"We are delighted to have advised MUFG on this groundbreaking transaction, which sets a new benchmark for structured regulatory capital financing in Singapore's insurance sector. The complexity of the deal required deep expertise in insurance regulation and capital structures, and we are proud to have supported MUFG in delivering an innovative solution that meets Singlife's strategic objectives."
Danny Fischer, Managing Director and Head of Solutions for APAC at MUFG, added:
"The team at Ashurst were a pleasure to work with on our recent financing. They demonstrated exceptional commercial awareness and were instrumental in navigating a number of challenging issues. Their responsiveness throughout the process was exemplary."
