Italy-headquartered insurer Generali has acquired Axa’s Malaysian operations, in line with Generali strategy to strengthen its leadership position in high potential markets.
At the same time AXA also announced the completion of the sale to Generali. In the announcement, AXA revealed it sold 49.99% of its shareholding in AXA Affin General Insurance as well as its 49% shareholding in AXA Affin Life Insurance.
According to Generali’s announcement, it acquired 70% of AXA Affin Life Insurance (49% from AXA and 21% from Affin) and 53% of AXA Affin General Insurance (49.99% from AXA and 3% from Affin).
Alongside the Axa deal, Generali said it had completed a deal to take full control over its Malaysia joint venture, MPI Generali Insurans Berhad, after buying out Malaysian firm Multi-Purpose Capital Holdings Berhad.
Jaime Anchústegui Melgarejo, CEO International of Generali, said: “The transactions are fully aligned with Generali’s ‘Lifetime Partner 24: Driving Growth’ strategy to strengthen our leadership position in high potential markets. We are now one of the largest General Insurance players in Malaysia – a country with strong potential for further growth thanks to economic development and its current low-insurance penetration.”
The Italian insurer plans to merge Axa businesses with its own local operations to create a single, unified entity, Generali Malaysia, which is set to launch in early 2023.
Rob Leonardi, Regional Officer, Generali Asia said: “Thanks to the hard work and dedication of our people we are excited to move onto the next phase of consolidating our position in Malaysia, a high potential market for Generali in Asia.
“This is a unique opportunity to combine our talents and resources to create a unified brand that will have the scale, breadth, and capabilities to compete more effectively and profitably in the Malaysian insurance market, and provide greater value for our customers.”