KUALA LUMPUR: Hong Leong Financial Group Bhd
(HLFG) and its unit HLA Holdings Sdn Bhd (HLAH) have received Bank Negara’s nod to begin negotiations to sell HLAH’s equity interest in Hong Leong Assurance Bhd and Hong Leong MSIG Takaful Bhd.
The financial services provider told Bursa Malaysia that the approval was subject to the negotiations being concluded within six months from June 23, 2016.
Hong Leong Assurance and Hong Leong MSIG are owned 70% and 65% respectively by HLAH. Mitsui Sumitomo Insurance Co Ltd holds the remaining stakes.
Through a strategic partnership exercise, Hong Leong Assurance merged its general insurance business with MSIG Insurance (M) Bhd, forming Malaysia’s third largest general insurer.
HLFG, HLAH and the relevant parties will still be required to obtain the prior written approval from the Finance Minister, on the recommendation of Bank Negara, before entering into any agreement to effect the proposed transactions.
Apart from insurance, HLFG is involved in banking, unit trust, fund management and stock broking services.
Already a subscriber? Log in
The Star Festive Promo: Get 35% OFF Digital Access
Cancel anytime. Ad-free. Unlimited access with perks.
