Asia-Pacific financial institutions M&A interest tracker

This tracker covers possible deals reported by media across Asia-Pacific over a certain period. The information is gathered from various news sources, excludes confirmed deals and is limited to potential acquisitions or sales involving companies or operations in the region. Click here to read the previous month's report.

Global financial companies eyeing divestments in Asia-Pacific drove interest in potential deal activity in the region in February as Netherlands-based insurer Aegon NV and U.S.-based Citigroup Inc. consider deals.

Citigroup is considering offloading a number of its units in retail banking in South Korea, Thailand, the Philippines and Australia as part of an ongoing review of the bank's businesses, Bloomberg News reported. Potential buyers include local banks in those countries. Citi has not made final decisions and the bank is open to maintaining its existing international operations after all.

Aegon is mulling a sale of its Transamerica business in Asia as part of the company's plans to exit noncore markets and focus on businesses in the Netherlands, U.K. and the U.S., Bloomberg News reported. The potential sale could fetch $700 million but deliberations are still in the early stages and Aegon may still decide to keep the business.

Below is a snapshot of February reports of possible deals compiled by S&P Global Market Intelligence

Meanwhile, banks in the region are moving ahead with selling noncore assets. Australia's Westpac Banking Corp. is moving to launch a formal sale process for its life insurance business, Bloomberg News reported. Westpac has reportedly reached out to a number of potential buyers, including Hong Kong's AIA Group Ltd. and Japan's Dai-ichi Life Holdings Inc., to gauge their interest in the unit. Deliberations are still ongoing and Westpac may still decide to keep its life insurance unit.

Bank of East Asia Ltd.'s sale process for its life insurance unit BEA Life Ltd. progressed as potential buyers submitted binding bids for the units, Bloomberg News reported. AIA Group and China Strategic Holdings Ltd. are reportedly among the final bidders in the potential deal that could worth up to $600 million. AIA Group and China Strategic Holdings will proceed into final negotiations. Other bidders may still emerge and negotiations could still fall apart or get delayed. Bank of East Asia began the sale process after conducting a strategic review. The bank intends to enter into a long-term exclusive distribution agreement as part of the sale process.

Punjab National Bank is seeking a buyer for its 10.01% stake in Asset Reconstruction Co. (India) Ltd., Financial Express reported. Punjab National Bank is selling the stake after the Indian government announced plans for its first government-backed asset reconstruction company. The proposed entity will take over and repackage existing stressed debt of state-run banks and sell to alternative investment funds and other investors.

Further articles about other deal possibilities

Australia's MoneyMe in talks for potential business sale

Ares Management calls off A$6B AMP bid

Singapore sovereign wealth fund to take 9% stake in Indonesian lender

Indian government eyes privatization of 4 state-run banks – Reuters