AGI – Generali strengthens in Malaysia. The group has in fact signed an agreement for thepurchase of the majority of the shares held by Axa and Affin respectively in the Axa Affin General joint ventures (49.99% from AXA and 3% from Affin and other minority shareholders) e AXA Affin Life (49% from AXA and 21% from Affin).
The insurance company also submitted the application to local authorities for acquire the remaining share of General Mpi.
The total consideration for the transactions is equal to 262 million euros, subject to adjustments at closing.
Following the transactions, Generali will operate in Malaysia through two companies, one active in the Non-Life segment and the other in the Life segment. In the non-life sector, explains a note, Generali intends to merge the activities of Mpj Generali with Axa Affin General Insurance. Once the agreements have been finalized, the group will hold 70% of both companies, Life and Non-Life, which will operate under the Generali brand. Affin Bank will hold the remaining 30%.
Thanks to the acquisition, Generali will position itself among the leading insurers in the Malaysian market, creating the second largest non-life operator by market share and entering the country’s Life segment. The Leone will then enter into an exclusive bancassurance agreement with Affin Bank for the sale of conventional products in the Non-Life and Life classes.