CDFHC expects gains after Taiwan insurer acquisitionNovember 2 2017 by InsuranceAsia News Staff
After acquiring a new foothold in Taiwan’s life market, Development Financial Holding Corp (CDFHC) is expecting what it has called “synergistic gains”.
In September, CDFHC rose to become the biggest shareholder in Taiwan’s China Life Insurance Co after raising its stake in the insurer to 34.96%.
The move was part of CDFHC’s efforts to reallocate capital in order to transition from low-leverage direct investments into a well-rounded financial company with high leverage and also offering a vast array of services.
After the acquisition, CDFHC’s total assets surged from about NT$900 billion to NT$2.3 trillion (US$29.8 billion to US$76.2 billion).
At that amount, it ranked tenth out of the nation’s 16 financial holding companies.
At present, CDFHC is aiming to increase China Life’s policy sales through the branch networks of its subsidiaries, KGI Bank and KGI Securities Co, to generate improved premium income and profit.
- June 1
The change for life insurance JVs is proposed in the latest draft regulatory amendments under consideration.
- May 24
Dwindling sales of savings-type products and weaker investment returns are reducing income.
- May 14
Linked policies recorded the highest growth, up 82% from the same period last year.
- May 2
Shareholders will carry out a detailed evaluation of shortlisted bidders over the next couple of weeks.