PayPay, a subsidiary of SoftBank Group, has agreed to acquire a 70.2% stake in T&D Financial Life Insurance Company from T&D Holdings, marking a major expansion into the life insurance market and advancing its strategy to become a comprehensive digital financial services platform. The transaction values the stake at approximately ¥132 billion, with total acquisition-related costs estimated at about ¥134 billion. The deal is expected to close on October 1, 2027, subject to regulatory approvals and other customary conditions.
Following the transaction, T&D Financial Life will become a subsidiary of PayPay and SoftBank Group. One Investment Management’s OneIM Indigo fund plans to acquire a 14.9% stake, while T&D Holdings will retain the remaining 14.9%. The acquisition will be funded with PayPay’s existing cash resources.
The deal represents a significant step in PayPay’s evolution from a mobile payments provider into a broader financial services ecosystem. Founded in 2018 by SoftBank and Yahoo Japan, PayPay has become one of Japan’s most widely used digital wallets, with approximately 74 million registered users. In recent years, the company has expanded beyond payments into credit cards, banking, securities, and insurance products, seeking to capture a larger share of Japanese household financial assets.
Alongside the acquisition, PayPay and T&D Holdings entered into a comprehensive business alliance. The companies plan to develop new insurance services using artificial intelligence and leverage the PayPay platform to distribute insurance products more broadly. The partnership is intended to accelerate digital innovation in Japan’s insurance industry and enhance customer access to financial products.
SoftBank views the acquisition as part of its broader effort to strengthen its portfolio of digital financial services businesses. The move comes shortly after PayPay completed its Nasdaq initial public offering and as the company continues pursuing long-term growth opportunities in fintech and adjacent markets.
