- To become a leading wealth manager in Asia, HSBC Insurance (Asia-Pacific) Holdings Ltd, an indirect wholly-owned subsidiary of HSBC Holdings (NYSE:HSBC) to acquire AXA Insurance Pte Limited (AXA Singapore) for $575M.
- AXA Singapore is currently the 8th largest life insurer in Singapore by annualized new premiums, 5th largest property and casualty (P&C) insurer and a leading group health player with reported net assets of $474M, annualized new premiums of $85M, gross written premiums of $739M and profit before tax of $23M for FY2020.
- Noel Quinn, Group Chief Executive, HSBC Holdings plc, commented: “This is an important acquisition that demonstrates our ambition to grow our Wealth business across Asia. Wealth is one of our highest growth and highest return opportunities, and plays to our strengths as an Asia-centred bank with global reach. We are acquiring a good business that fits well with our existing operations, and which strengthens our status as one of Asia’s leading wealth and insurance providers.”
- The acquisition will be funded from existing resources and will have a minimal impact on HSBC’s common equity tier 1 ratio.
- The company expect the acquisition to be immediately accretive to the earnings of the Group upon completion.
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