Tokio Marine Holdings, Inc. has increased its shareholding in PT Asuransi Tokio Marine Indonesia from 60% to 80% through its wholly owned subsidiary, Tokio Marine Asia Pte. Ltd.
The stake was increased through acquisition of 20% of shares held by joint venture partner, PT Asuransi Jasa Indonesia (Jasindo), at the price of IDR 509 billion – approximately $33 million.
Since 1973, Tokio Marine started its non-life insurance business in Indonesia as an agent of Jasindo, one of the largest state-owned non-life insurance companies, by providing insurance products and services to Japanese companies doing business in Indonesia.
Moving forward to 1975, a joint venture was established with Jasindo as PT. Asuransi Jayasraya. After Tokio Marine took a major position in 1990, the company name was changed to PT Asuransi Tokio Marine Indonesia.
Leveraging on Tokio Marine’s strong branding and financial position, TMI has been growing steadily through the expansion of its branch network in Indonesia.
TMI currently is ranked 13th in the market in terms of GWP and is one of the most profitable insurers across Indonesia.
In a press release, it notes that both parties reached an agreement to increase TMI’s shareholdings to 80% from 60%. Tokio Marine Asia completed the acquisition of 20% shares of TMI from Jasindo on November 23, 2022 after obtaining local regulatory approval.
In line with Tokio Marine’s international business strategy, the increase of shareholding in TMI will help to achieve sustainable growth and profit expansion as well as enhance diversified business portfolio through capturing growth opportunities in emerging countries.
Earlier this year, Tokio Marine Asia entered into a strategic partnership with Arbor Ventures, a leading global Fintech/InsurTech-focused venture capital (VC) firm headquartered in Singapore.
