China Life Insurance (Group) Company has bought CNY 6 billion ($880.39 million) out of CNY 50 billion ($7.33 billion) subordinated bonds issued by Agricultural Bank of China (ABC) under a deal inked by both the parties to extend cooperation.

The Chinese insurer secured a contract to join hands with ABC for overall business development, including fundraising and investment. Since 2006, there has been a rumour that China Life will purchase 20% stake in ABC.

China Life Pension Insurance Company, the pension insurance unit of China Life Insurance, also penned a deal with ABC on corporate annuity.