There have been media reports of the Swiss reinsurance company being engaged in two-way talks with China Pacific Insurance
Swiss Re has confirmed media reports that it is looking to make an investment into the primary offering of securities of China Pacific Insurance (Group) Co. (CPIC).
There has been media speculation of the Swiss reinsurance company being engaged in two-way talks with the Chinese insurance company.
Bloomberg, citing undisclosed sources, reported that China Pacific Insurance is in talks to invest more than $2bn in the Swiss company. As part of the deal, Swiss Re will invest $500m-$1bn for a minority stake in the Chinese insurer.
The Swiss company, in a statement, said: “No definitive agreement has been entered into between Swiss Re and CPIC. Any securities offering by CPIC remains subject to various contingencies, including CPIC’s decision to proceed with any such offering.
“Separately, Swiss Re has no current intention of issuing new shares or making treasury shares available to any potential investor.”
Headquartered in Shanghai, China Pacific Insurance provides life and property insurance products and services in China. The company’s insurance subsidiaries are China Pacific Life Insurance and China Pacific Property Insurance.
Some of its property insurance products are car insurance, liability insurance, investment type insurance, insurance of family’s properties, and accident insurance/injury insurance. Its life insurance products, on the other hand, are endowment insurance, health insurance, insurance cover services, juvenile assurance, and petty insurance.
The major stakeholders of China Pacific Insurance include the Chinese government, the Shanghai government, and China Securities Finance.
Swiss Re, which is headquartered in Zurich, offers reinsurance, insurance and other forms of insurance-based risk transfer. Established in 1863, the Swiss company operates through a network of about 80 offices located across the world.
Last month, the Swiss insurer joined forces with automobile electronics company Pioneer to develop a telematics solution that is said to give insurers a more personalised risk assessment. The telematics solution, which will be integrated into Swiss Re’s Coloride app, is also said to support safer driving behaviour.