trending Market Intelligence /marketintelligence/en/news-insights/trending/_rk6PFlkegLLwHtdIAFvAg2 content esgSubNav
In This List

Asia-Pacific financial institutions M&A interest tracker

Podcast

Street Talk Episode 87

Blog

A New Dawn for European Bank M&A Top 5 Trends

Blog

Insight Weekly: US banks' loan growth; record share buybacks; utility M&A outlook

Blog

Banking Essentials Newsletter 2021: December Edition


Asia-Pacific financial institutions M&A interest tracker

This tracker covers possible deals reported by media across the Asia-Pacific region 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.

In September, the potential sales of Aviva PLC's units in Singapore and Vietnam, Korea Development Bank's life insurance unit and other insurance assets across Asia-Pacific attracted interest from both foreign and domestic companies, including Allianz Group and Nippon Life Insurance Co.

About half a dozen companies, including Japan's Nippon Life Insurance and MS&AD Insurance Group Holdings Inc., are all competing to acquire Aviva's Singapore and Vietnam businesses for a combined deal value of between US$2 billion and US$2.5 billion, Reuters reported. Aviva is reportedly keen to complete a transaction by the end of the year.

Meanwhile, Axa SA and Malaysia-based Affin Bank Bhd. are considering a potential sale for their life and general insurance business in Malaysia, Bloomberg News reported. The partners plan to raise around US$500 million from a deal involving Axa Affin General Insurance Bhd. and up to US$150 million from Axa Affin Life Insurance Bhd.

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

SNL Image

Also in Southeast Asia, Hong Kong-based FWD Group Management Holdings Ltd. and Joint Stock Commercial Bank for Foreign Trade of Vietnam are close to reaching a deal for a unit of Vietcombank and long-term insurance distribution agreement with the bank, Bloomberg News reported. The potential US$400 million insurance deal reportedly includes the acquisition of Vietcombank-Cardif Life Insurance Co. Ltd. FWD Group reportedly outbid rivals for the deal but it could still be weeks before FWD Group and Vietcombank officially announce the deal.

In South Korea, policy lender Korea Development Bank is seeking to sell a controlling stake in KDB Life Insurance Co. Ltd. The bank will accept letters of interest in early November and pick a preferred bidder by the end of December. It expects to complete the sale by early 2020.

While the policy lender is seeking to sell its domestic insurance unit, it is looking to buy a finance company in Indonesia, The Korea Economic Daily reported. The potential deal for the acquisition of PT Tifa Finance Tbk is expected to be priced at more than 10 billion won, according to the report.

The Pakistani government plans to sell a 20% stake in state-owned State Life Insurance Corp. of Pakistan Ltd., Business Recorder reported. The stake sale will place the state life insurer on the active privatization list.

In India, Andhra Bank could divest part of its stake in IndiaFirst Life Insurance Co. Ltd. to private equity firm Warburg Pincus LLC, The Economic Times reported. Warburg Pincus could acquire a 20.5% stake in IndiaFirst Life Insurance, which could potentially make it the largest shareholder in the insurer as it already owns a 26% stake. Andhra Bank, which has a 30% stake in the insurer, could make a profit of 7 billion rupees from the sale.

Meanwhile, Hong Kong Exchanges & Clearing Ltd. on Sept. 11 proposed a merger with London Stock Exchange Group PLC, valuing the British bourse's entire issued and to-be-issued ordinary share capital at roughly £29.6 billion and implies an enterprise value of £31.6 billion. Under the deal, LSEG shareholders will receive £20.45 in cash and 2.495 newly issued HKEX shares for each LSEG share.

LSEG rejected the £31.6 billion offer, prompting Jos Dijsselhof, CEO of Swiss stock exchange SIX Group AG to speculate to City A.M. that HKEX will likely increase its takeover bid. Dijsselhof said, however, that he expects the deal will remain unlikely to push through as its strategic rationale for LSE is unclear.

Further articles about other deal possibilities

Report: Archer Capital selling credit check company Illion for at least A$1.5B

Report: Yes Bank founder to sell stake to Canadian asset manager

Canara Bank expects to raise 10B rupees via Can Fin Homes stake sale

Report: Paytm in talks to acquire stake in Yes Bank

Report: CVC Capital, Carlyle likely to be shortlisted for Shriram Capital stake