To acquire all the equity of BOC Insurance from the bank's Hong Kong-based subsidiary, Bank of China Group Insurance
The China Insurance Regulatory Commission has approved Bank of China to acquire majority stake in Heng An Standard Life, a 50-50 joint venture between UK-based Standard Life Insurance and China’s Tianjin Teda International Holding. The investment would take place through the bank’s wholly-owned non-life subsidiary, Bank of China Insurance Company (BOC Insurance) – reported Trading Markets
The regulator has also approved Bank of China to acquire all the equity of BOC Insurance from the bank’s Hong Kong-based subsidiary, Bank of China Group Insurance, and will allow the bank to infuse capital into the newly acquired insurance unit.
According to Standard Life, Bank of China would purchase a majority stake in Heng An Standard Life, which would then become a domestic insurance company. Heng An Standard Life will open its ninth branch in Guangzhou, in southern China’s Guangdong province.
Alan Armitage, chief executive of Standard Life Asia, stated that Guangdong province is very important in insurance terms as it has a developed market.
Beijing-based property insurer, BOC Insurance offers property and casualty, liability, credit and guarantee, short-term health and accident injury insurance, as well as reinsurance on those lines through 16 branches in China.