Global insurer Chubb Limited has increased its ownership in Huatai Insurance Group Company, making it the first domestic Chinese financial services holding company to convert to a Sino-foreign equity joint venture.
The company received approval from the China Banking and Insurance Regulatory Commission to increase its stake in Huatai Group from 20% to 26.2%, effective February 27, 2019.
Chubb explained that Huatai Group’s new status as a Sino-foreign joint venture will pave the way for it to eventually acquire a majority stake in the business.
Huatai Insurance Group is the holding company of Huatai P&C Insurance Company, Huatai Life Insurance Company, Huatai Asset Management Company, Huatai Baoxing Fund Management Company, among other subsidiaries.
The Group’s insurance operations have more than 600 branches and 11 million customers.
“We made our first investment in Huatai in 2002 and became the company’s largest shareholder. This increased ownership is an important milestone towards our goal of majority and beyond ownership,” said Evan G. Greenberg, Chairman and Chief Executive Officer of Chubb.
“Chubb’s continuous investment in China over the past 17 years, including our wholly owned Chubb China subsidiary, demonstrates our long-term commitment to the development of a strong Chinese financial services industry and the important role it plays in serving Chinese society and the welfare of its people,” he continued.
