b'MERGERS & ACQUISITIONS LIFE SEC TORNorth America and BermudaCollaborations Between Insurers and Asset Managers2021 was another strong year for M&A in the life and annuity sector, continuing the notable trend of asset managers acquiring, or entering into collaborations with, life and annuity insurers and reinsurers, and with multiline carriers looking to exit capital-intensive business lines. In a notable example, in November 2021, The Blackstone Group Inc. (Blackstone) completed its acquisition of Allstate Life Insurance Company and certain of its subsidiaries from The Allstate Corporation (Allstate) for $4 billion, including a $2.8 billion purchase price by Blackstone and the retention by Allstate of increases in statutory surplus. This transaction, together with Allstates sale of Allstate Life Insurance Company of New York to Wilton Re (which was also announced in 2021) furthers Allstates publicly announced strategy to concentrate its capital on expanding its personal property market share.Blackstone further expanded into the life and annuity sector in 2021, with its announcement of a strategic partnership with American International Group, Inc. (AIG), under which Blackstone acquired a 9.9% equity stake in AIGs life and retirement business for $2.2 billion and entered into a strategic asset management relationship with AIG. Blackstone will manage $50 billion of AIGs existing life and retirement investment portfolio, with such amount of assets under management (AUM) of Blackstone increasing to $92.5 billion over the next six years.In addition, during 2021 Brookfield Asset Management, Inc. (Brookfield) created Brookfield Asset Management Reinsurance Partners Ltd. (Brookfield Reinsurance) and transferred Brookfields insurance and reinsurance business, including its operating subsidiaries North End Re and Brookfield Annuity Company, to Brookfield Reinsurance and then spun off of Brookfield Reinsurance. Brookfield Reinsurance is intended to be a paired entity through which Brookfield 8|Global Insurance Industry Year in Review 2021'