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Oct
11
ACE Group Announces Acquisition of Jerneh Insurance in Malaysia
Posted on Oct 11, 2010 by Sergio Ulloa (G+)
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: ACE
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
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.