Syarikat Takaful Malaysia Bhd. received regulatory approval for its proposed reorganization, which would see the company split its family takaful and general takaful businesses.
Under the new structure, the company will operate the family takaful business and will change its name to Syarikat Takaful Malaysia Keluarga Bhd. The company said Aug. 10 that it will also form a new subsidiary, Syarikat Takaful Malaysia Am Bhd., to manage its general takaful business.
The Malaysian central bank and minister of finance have agreed to grant two separate Islamic insurance licenses to the companies following the reorganization.
The company said it expects to complete the restructuring in the second quarter of 2018.
The announcement came after Syarikat Takaful Malaysia's majority owner, BIMB Holdings Bhd., confirmed in May that it was considering selling its 59.9% stake in the company.