Sun Life Financial Services of Canada Inc. has closed the purchase of Keyport Life Insurance Co. and Independent Financial Marketing Group from Liberty Financial Companies Inc. Sun Life paid a total of US$1.7 billion for both companies.

Regulators in the United Sttes and Canada, as well as shareholders of Liberty Financial, approved the acquisition.

Keyport is a Boston-based provider of fixed and variable annuities. With approximately 300,000 outstanding annuity contracts, Keyport generated total annuity sales of US$2.7 billion in 2000. Keyport’s 2000 variable annuity sales of US$717 million will bring Sun Life Financial’s pro forma variable annuity sales to US$5.1 billion.

Based in Purchase, New York, Independent Financial is a leading provider of annuities and mutual funds to financial institutions across the U.S. The company had sales of US$3.3 billion in 2000.

“These key U.S. acquisitions represent a significant milestone for Sun Life Financial,” said Donald Stewart, chairman and CEO. “Keyport and Independent Financial will add scale, strengthen our product portfolio and expand our distribution in key target product markets in North America.”

“We are very excited about the business opportunities that lie ahead now that we have completed this acquisition,” said James McNulty, executive vice president U.S. Operations. “With Keyport products, we’ll be able to offer our customers more financial solutions to meet their ever-changing needs, while reaching additional customers through the Independent Financial and Keyport distribution networks.”