Affin’s move needs more clarity, say analysts

PETALING JAYA: The move by Affin Holdings Bhd to up its stake in its associate AXA Affin General Insurance Bhd (AAGI) still needs more clarity as the recent announcement by the financial services group did not spell out the reason for buying the additional stake, the pricing and the shareholding the group intend to take up in AAGI, according to analysts.

A banking analyst told StarBiz that at this moment, it was unclear why Affin wanted to raise its stake in AAGI amid the current economic slowdown but added that if the group were to acquire the additional stake, it should be a controlling one with at least 51% where it would be in a position to take any strategic initiatives.