KUALA LUMPUR: Hong Kong-based insurer FWD Group has completed its acquisition of British lender HSBC Holdings Plc's 49 per cent stake in HSBC Amanah Takaful (Malaysia) Bhd.
FWD Group, in a statement, did not disclose the financial details of the deal.
It, however, stated it is now the largest shareholder in the Islamic insurance joint venture, which will be renamed as FWD Takaful Bhd.
The other shareholders are JAB Capital Bhd (formerly known as Jerneh Asia Bhd) owning 31 per cent while Employees Provident Fund (EPF) controls 20 per cent.
FWD Group is part of the Pacific Century Group, which is chaired by tycoon Richard Li, the younger son of Hong Kong’s richest man Li Ka Shing.
Richard formed FWD Group, in 2013, after spending US$2.1 billion to buy ING Groep NV’s insurance and its pension units in Hong Kong, Macau and Thailand.
FWD Group assured all existing takaful certificates issued under HSBC Amanah Takaful will continue to be honoured by FWD Takaful.
“Malaysia represents another landmark market entry and strategic milestone in our journey,” said FWD Group chief executive officer Phong Huynh Thanh.
“We see huge potential for growth in Malaysia. I’m excited to work together with our new team in Malaysia to grow our business and footprint through long-term investment and implementation of our customer-led strategy,” Phong added.
Salim Majid Zain is named the new chief executive officer at FWD Takaful. “I’m honoured to be leading FWD into an exciting new chapter in its history in Malaysia.”
“FWD is looking at all development opportunities here and is committed to achieving new milestones together and bringing fresh experiences to our Malaysian customers,” said Salim, who was the chief executive officer of Zurich Takaful Malaysia for 12 years.
FWD’s entry into Malaysia via this deal enlarges its Asian footprint that already covers Indonesia, Japan, Singapore, the Philippines, Thailand, and Vietnam, besides its home market of Hong Kong.
Todate, FWD Group is managing more than US$28 billion in assets, with over three million customers spread across nine Asian markets.