Generali to enter the Malaysian P&C insurance market with purchase of 49% of MPIB
The Group is placing itself among the top ten P&C insurers in the Malaysian market, and will be able to immediately appoint key managers
Generali has entered into an agreement with Multi-Purpose Capital Holdings Berhad – a wholly owned subsidiary of the Malaysian group headed by MPHB Capital - to acquire a 49% stake in its P&C insurance subsidiary, Multi-Purpose Insurans Berhad (“MPIB”), for a consideration of € 81.4 million (MYR 355.8 million).
With this acquisition, the Group will enter the Malaysian market placing itself among the top ten P&C insurers of the country.
The agreement includes a call option exercisable in two years on an additional 21% stake of MPIB, which will enable the Group to increase its holding to 70% of the company’s capital, the highest amount allowed under Malaysian law for foreign companies. The transaction is substantially neutral in Solvency terms.
Moreover, a shareholders’ agreement will allow Generali to immediately appoint some Directors and key managers of the Company.
The Group CEO of Generali, Mario Greco, commented: “Our entry into the Malaysian market marks an important step for Generali’s development in Asia, an important area for the Group’s future growth and where we are already investing. Malaysia is a market which is significantly growing and offers great opportunities, especially in the P&C segment”.
For more details, please consult our press release