PARIS (Reuters) – Insurer Axa announced on Tuesday that it had reached an agreement with Generali to sell its insurance business in Malaysia, for a total cash amount of 140 million euros.
AXA is present in Malaysia through two joint ventures with the Affin Bank Berhad group: AXA Affin GeneralInsurance (AAGI), 49.99% owned by AXA and 49.95% by Affin Bank, as well as AXA Affin Life Insurance (AALI), 49% owned by AXA and 51% by Affin Bank.
The transaction announced on Tuesday includes the sale of its 49.99% stake in AAGI and its stake in
49% in AALI.
“The finalization of the transaction is subject to the usual conditions, in particular the obtaining of regulatory authorizations, and should take place during the second quarter of 2022”, specifies Axa in a press release.
AAGI is Malaysia’s fifth-largest non-life insurer with a 7.9% market share, and AALI is the country’s eleventh life insurer, says Axa.
IFRS revenue and operating profit from AAGI’s business for the year 2020 amounted to € 284 million and € 9 million respectively. AALI was not consolidated in Axa’s accounts.
(Hayat Gazzane, edited by Nicolas Delame)
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