The remaining 49% stake will be retained by the Australian bank
Bank of Communications, a China-based bank, is all set to purchase a controlling stake in China Life-CMG Insurance Company, a joint venture between China Life Insurance Company and Commonwealth Bank of Australia – reported China Knowledge citing a Hong Kong newspaper.
Reportedly, BoCom has planned to purchase a 51% stake from China Life. The remaining 49% stake will be retained by the Australian bank. The company is likely to announce the deal this week.
If the deal is approved, it would make BoCom the first Chinese lender to take a controlling stake in an insurance firm. The bank intends to commence an insurance business after the deal’s approval.