China Merchants Bank has purchased a 50% equity interest in CIGNA & CMC Life Insurance Company from Shenzhen Dingzun Investment Advisory Company, for an undisclosed sum, as part of its strategy to boost business footprint.
The agreement, which was originally inked in May 2008, completed successfully following all the necessary regulatory approvals, the bank said in a statement to Hong Kong Stock Exchange.
In March, the Chinese bank received approvals from China Banking Regulatory Commission and China Insurance Regulatory Commission.
Cigna & CMC, a Sino-American insurance joint venture (JV) between Connecticut-based Cigna and China Merchants Group, specializes in life, casualty and health insurance.
In addition, the change of commercial and industrial registration of CIGNA & CMC Life Insurance Company Limited has been completed recently.
Now, China Merchants Bank holds a 50% equity interest in CIGNA & CMB Life Insurance Company, while Life Insurance Company of North America owns the remaining 50% equity interest.