Italian insurer Generali Asia has completed the acquisition of 49% stake in Multi-Purpose Insurans of Multi-Purpose Capital (MPCHB) for a cash consideration of RM355.80m ($99.11m).
As part of this, MPCHB has also put an option for Generali Asia to acquire up to 21% stake in MPIB within two years.
MPHB Capital managing director Tan Sri Dato’ Surin Upatkoon said: "By partnering one of the world’s largest insurance companies, MPIB is better positioned to continue offering its customers the assurance of reliability.
"The partnership combines the global insurer’s 188-year-old legacy of stability, solidity and reputation with MPIB’s multi-purpose approach to actively creating and enhancing values in people’s lives and businesses."
This development marks the entry of the Assicurazioni Generali (Generali) into the Malaysian non-life insurance market.
The Italian firm is expected to benefit from a market where MPIB has established an extensive network of more than 1,000 agents and 12 branches.
Generali currently operates in nine Asian countries including China, Hong Kong, India, Indonesia, Japan, The Philippines, Singapore, Thailand and Vietnam. In 2014, the company reported a combined premium income of €1.153bn.
Image: Generali’s headquarters in Trieste, Italy. Photo: courtesy of Zinn.