Axa Philippines has agreed to acquire 100% stake in Charter Ping An Insurance (CPA) from GT Capital Holdings, for around PHP2.3bn (€45m).
The deal will expand Axa’s existing relationship with GT Capital and its component firm Metropolitan Bank & Trust to cover property and casualty (P&C) insurance.
Claimed to be the fifth largest P&C insurer in the country, CPA provides a full range of fire, motor, marine, personal accident and engineering insurance products.
The deal will enable Axa to distribute P&C products through the branch network of Metrobank in the country. Axa also provides a wide range of life and savings products.
Axa Asia regional CEO Jean-Louis Laurent Josi said: "This deal marks the next stage in expanding AXA Philippines to offer a comprehensive range of high-quality insurance products to our customers, enabling us to leverage our international experience in Property and Casualty cover to provide customer-centric solutions.
"Our close partnership with GT Capital and Metrobank has enabled us to build a strong presence in this high-growth market and this milestone will create new opportunities for further growth, as well as to help enhance the local insurance sector with a wider range of offerings."
Subject to customary closing conditions, the deal is expected to complete in the first quarter of 2016.
Axa owns 45% stake in Axa Philippines, while GT Capital has 25% stake and Metrobank owns 28% interest.
In July this year, Axa is engaged in exclusive negotiations with Genworth Financial to acquire its lifestyle protection insurance business, for around €475m ($510m).
With around 103 million clients in 59 countries, Axa provides insurance and asset management services.
Image: CPA provides fire, motor, marine, personal accident and engineering insurance products. Photo: courtesy of Stuart Miles/ FreeDigitalPhotos.net.