S&P Global MarketIntelligence offers our top picks of insurance news stories and more publishedthroughout the week. Please note that some entries may have links tothird-party sources that may require a subscription.
Mirae Asset Life eyesPCA Life, other M&A news
* Mirae AssetLife Insurance Co. Ltd. offered 150 billion won to acquire , abouthalf of the expected market price of the insurer. Mirae Asset Life has nointention to pay much for PCA Life despite its strength in the variable lifeinsurance market, said an executive from Mirae Asset Financial Group. Inaddition to Mirae Asset Life, a Chinese firm placed a bid for PCA Life.
* GoldmanSachs Group Inc. plans to sell its 15% stake in India's Max FinancialServices for around 24 billion Indian rupees.
* ICICI BankLtd. raised 16.35 billion Indian rupees from the sale of48.96 million shares in its life insurance arm. The bank sold the shares inICICI Prudential Life InsuranceCo. Ltd. to institutional investors as part of the insurer's 60.56billion rupees IPO. The bank is planning to divest a stake of 12.63% in thelife insurance arm.
India insurancesector updates
* The Insurance Regulatory and Development Authority ofIndia, or IRDAI, will likely grant final approval to foreign reinsurance firmsto set up branches in India by January 2017. After such approval is granted, theforeign reinsurance firms will have to provide the requisite capital to set upa branch.
* Separately, the IRDAI imposed a 1 million rupee fine onSBI Life Insurance Co.Ltd. for several rule violations, according to a newsrelease.
* The Bombay Stock Exchange to set up two insurance-relatedbusinesses in order to facilitate the establishment of a new insurance brokingplatform for its members. The BSE is looking to provide an IT platform for itsmembers seeking to sell insurance products to clients.
* The Association of Mutual Funds in India urged assetmanagement firms to oppose a proposal to pay an 8.5 billion rupees noncompetefee to promoters of Max Financial Services as part of the of and Max Life Insurance Co.Ltd., Mint reported,citing four people with direct knowledge of the matter.
In other news
* PT AsuransiJiwa Sequis Life is increasing its asset management offerings as it expectsmore interest in such products from investors in Indonesia. The insurer willnow handle insurance products that require greater investment expertise.
* S&P Global Ratings downgraded the long-term ratings of eight insuranceentities to reflect its view that support from their respective Australian bankparents are weaker than previously expected. S&P lowered the long-termratings of The Colonial Mutual Life Assurance Society Ltd., The Colonial MutualLife Assurance Society Ltd. (NZ branch), OnePath Life Ltd., , and WestpacLife-NZ-Ltd. to A+ from AA-.
* China's Union Life Insurance Co. Ltd. to issue US$500 million worth ofnotes. The listing of the notes on the Hong Kong stock exchange is expected tobecome effective Sept. 20.
* MunichRe will restructure its Asia-Pacific operations with plans toexpand its offices in Tokyo, Singapore and Beijing while scaling down orclosing offices in other parts of the region. The reinsurer's regional centerin Singapore will serve clients from Southeast Asia and support the company'sreinsurance activities in India, Japan and Korea.
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