EPF in talks to buy stake in Great Eastern

TheStar Tue, Feb 06, 2018 07:45am - 8 years View Original


The talks with the Employees Provident Fund (EPF) is part of Great Eastern’s strategy to meet a Malaysian central bank deadline, set for June, mandating that insurers operating in the country are at least partially owned by locals.

The talks with the Employees Provident Fund (EPF) is part of Great Eastern’s strategy to meet a Malaysian central bank deadline, set for June, mandating that insurers operating in the country are at least partially owned by locals.

KUALA LUMPUR: Singapore-based insurer Great Eastern Holdings Ltd is in exclusive talks with Malaysia’s largest provident fund to sell it a minority stake in its Malaysian insurance unit, a deal that could fetch as much as US$1bil, according to a source.

The talks with the Employees Provident Fund (EPF) is part of Great Eastern’s strategy to meet a Malaysian central bank deadline, set for June, mandating that insurers operating in the country are at least partially owned by locals. A stake in Great Eastern Life would allow EPF to ride on the growth prospect of Malaysia’s insurance sector.

Great Eastern’s Malaysia unit, Great Eastern Life Assurance (M) Bhd, is the oldest insurance company in the country. It had over 3 million policies in force and a network of 17,000 agents in Malaysia at the end of 2016, according to its website.

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