KUALA LUMPUR: RHB Bank
Bhd has received approval from Bank Negara Malaysia (BNM) to commence negotiations with Tokio Marine Asia Pte Ltd for the proposed disposal of up to its entire stake in RHB Insurance Bhd.
In a filing with Bursa Malaysia, RHB Bank said the proposed transaction would involve the integration of Tokio Marine Insurans (M) Bhd and RHB Insurance into an enlarged entity, in which RHB Bank would hold up to a 35% stake.
RHB Bank said the central bank, via a letter dated May 11, had no objection to the bank beginning negotiations, subject to all parties concluding discussions within six months.
It added that the relevant parties would still need to obtain prior approval from the finance minister, upon the recommendation of BNM, before entering into any definitive agreements for the proposed transaction.
