Canada's Manulife Financial Corp is considering offloading some North American assets but has ruled out floating its John Hancock Financial Services US life unit, according to reports ahead of its full year results today (7 February).
Manulife's decisions follow a strategic review of its US businesses, according to anonymous sources cited in Reuters.
They said the group is trying to "monetise its less attractive insurance assets" including variable annuity and long-term care business.
The latter may prove a tough line to sell near par, given the high-profile $21bn hit inflicted on US rival General Electric last month.
But the sources said these two operations could still earn Manulife several billion dollars in sales processes that could commence in the coming months.
The company declined to comment on speculation.
It had downplayed suggestions last August it would spin off the John Hancock life unit, 13 years after buying it for $12bn in M&A that doubled the Canadian group's size. In November chief executive Roy Gori said "all options" were possible for the US insurer - but floating appears now not to be one.
The company has also excluded its asset manager from sale, according to Reuters' sources.
Manulife already spun off its Brighthouse Financial last year.
