Oct
11
ACE Group Announces Acquisition of Jerneh Insurance in Malaysia
By Sergio | Published October 11, 2010
ACE Group, the global group of insurance and reinsurance companies based in Switzerland and listed in the New York Stock Exchange, has announced the singing of an agreement which will see the group acquire a 100 percent stake in Jemeh Insurance, the general insurance company majority-owned by Jemah Asia in Malaysia, for an estimated US$200 million (EUR 143 million).
Jerneh Insurance is the the general insurance division of Jerneh Asia and is recognised for its commercial insurance leadership, offering risk management services and a wide range of insurance products that cater to the insurance needs of businesses from retail to industrial, as well as personal cover for individuals. Jerneh Insurance was established in 1971 and it is now considered a specialist/leader in the larger-scale risks of industrial property, marine and engineering segments.
Among the types of insurance products offered by Jemeh are: fire, marine, aviation, motor, engineering, household, accident and health. Jemeh is a well-developed insurance company with a multi-channel distribution business, including robust bancassurance relationships and nearly 1,300 agents in 19 branches bringing direct access to consumers.
The final price tag of the transaction is subject to the book value of Jemeh at the actual closing date of the deal, which is anticipated to happen towards the end of the fourth quarter of 2010. With this acquisitions ACE is posed to seize a larger share of the commercial middle market, which is currently shared among the top insurers in Malaysia.
The deal is still subject to the approvals by the shareholders, other closing conditions and by the corresponding regulatory bodies in Malaysia.
Insurance Companies mentioned:
The ACE Group is one of the world’s largest providers of commercial property and casualty insurance. With its core operating insurance companies rated A+ for financial strength by Standard & Poor’s and A.M. Best, and with nearly US$78 billion in assets and more than US$19 billion of gross written premiums in 2009, the ACE Group is distinguished by its underwriting expertise, superior claims handling and global franchise, and has a physical presence in 53 countries and commercial and individual customers in more than 170 countries.
Jerneh Asia Berhad (JAB) is an investment holding company. The Group’s primary activity is the underwriting of general insurance business providing a complete range of general insurance products and services. To complement the insurance operations, JAB has diversified into related insurance services covering general and life insurance, reinsurance, insurance and reinsurance broking, healthcare and credit leasing. The subsidiaries and affiliates operate in Malaysia, Hong Kong, Philippines and Thailand.
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[...] This post was mentioned on Twitter by Michael Lamb, Globalsurance. Globalsurance said: #news: ACE Group Announces Acquisition of #Jerneh #Insurance in #Malaysia http://bit.ly/dBznjE #bancassurance [...]
[...] inked a deal to acquire 100% of Jerneh Insurance Berhad in Malaysia, for $200 million, …ACE Group Announces Acquisition of Jerneh Insurance in MalaysiaGlobalsurance (blog) all 4 news [...]
[...] ACE Group Announces Acquisition of Jerneh Insurance in Malaysia … [...]
[...] ACE Group Announces Acquisition of Jerneh Insurance in Malaysia … [...]
[...] ACE Group Announces Acquisition of Jerneh Insurance in Malaysia : International Insurance News [...]
[...] ACE already had a strong presence in Hong Kong and South Korea through property and casualty insurance services (P&C) but has been looking for an entryway into the local life insurance markets and growth through the acquisition of established NY Life operations. ACE will incorporate the newly purchased businesses into their existing local infrastructure, which already involve US$2.15 billion in assets, more than 2,400 captive agents and earnings of US$330 million in incremental life insurance revenues. ACE’s preexisting Asian life insurance businesses include operations in China, Indonesia, Thailand and Vietnam. In October the group entered the Malaysia life insurance market through the US$210 million acquisiti… [...]