Singapore’s Great Eastern and Italy’s Generali bid for AXA-Affin insurer

AXA Affin Life Insurance, set up in 2006, earned gross premiums of MYR 463.4 million in 2018, down from MYR 490 million a year earlier/Bloomberg

Singapore’s Great Eastern Holdings and Assicurazioni Generali are among potential bidders for AXA and Affin Bank’s Malaysia-based life and general insurance businesses.

Great Eastern, which is majority-owned by Oversea-Chinese Banking Corporation and Italy’s Generali are working with their respective advisers on potential offers. The first round of bidding is expected to conclude by the end of next month.

AXA and Affin have been exploring options for their Malaysian joint venture, which could fetch about $650 million.

AXA Affin General Insurance is among the top medical and health insurers in Malaysia, with 5,000 agents across the nation. The company underwrote MYR 1.44 billion ($347 million) in gross earned premiums and posted a net income of MYR 100 million in 2018.

AXA Affin Life Insurance, set up in 2006, earned gross premiums of MYR 463.4 million in 2018, down from MYR 490 million a year earlier. The company’s losses narrowed to MYR 8.1 million from MYR 17.7 million a year ago.

AXA owns 49.99 per cent of the Malaysian general business operations, while Affin Bank holds 49.95 per cent. In AXA Affin Life, Affin controls 51 per cent and the rest belongs to the French insurer.