Allianz completes strategic tie-up in ThailandMay 1 2019 by InsuranceAsia News Staff
Allianz and Sri Ayudhya Capital (Ayud) have completed their strategic partnership in Thailand, with Allianz becoming the largest shareholder in Ayud.
Allianz and Ayud are swapping shares and cash worth as much as Bt7.75 billion (US$239 million) while the German insurer is taking a 19.21% stake in the combined business for US$95 million (Thb3 billion) bringing its total stake to 45%.
The insurer said the partnership across both life and P&C businesses will increase investment and innovation locally.
As part of the transaction, Ayud will be renamed Allianz Ayudhya Capital; it continues to be listed on the Thailand stock exchange under the ticker AYUD. In addition Sri Ayudhya General Insurance (SAGI) will be renamed Allianz Ayudhya General Insurance.
Veraphan Teepsuwan remains as chairman of Allianz Ayudhya Capital while Bryan Smith has assumed the role of president and chief executive Allianz Ayudhya Capital in addition to the newly created position of country manager, Allianz Thailand, overseeing the overall business in Thailand.
Smith remains the president and chief executive of Allianz Ayudhya Assurance, the life insurance business. In addition Lars Heibutzki has been appointed president and chief executive of Allianz Ayudhya General Insurance.
Allianz Asia Pacific regional chief executive Solmaz Altin, who started the job on May 1, said: “The closer relationship between both businesses will increase collaboration and expertise, and deliver an improved customer proposition in the country. These moves reflect the strategic efforts we are making across Asia and we look ahead with confidence.”
Allianz Ayudhya Capital’s chairman Veraphan Teepsuwan commented: “We are confident that bringing our businesses closer together is the right decision to take our customer offering in Thailand to the next level.”
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