CNinsure, a China-based insurance intermediary company, has agreed to acquire an additional 46% equity interest in Shenyang Fangda Insurance Agency.
Shenyang Fangda Insurance is primarily focused in the distribution of property and casualty (P&C) insurance products in Shenyang, Liaoning Province.
Upon completion of the transaction, CNinsure’s total shareholdings in Shenyang Fangda will be increased to 51% from the 5% it currently holds.
CNinsure chairman and CEO Yinan Hu said that the acquisition is a strategic move by the company to further penetrate in Liaoning Province and enhance the capability for the distribution of P&C insurance products in the region.
The transaction is expected to be closed in the fourth quarter of 2010, subject to certain consents, authorizations and other customary closing conditions.