FDW, a Hong Kong-based insurance company, is about to acquire HSBC's (Hong Kong and Shanghai Banking Corporation) stake in HSBC Amanah Takaful, a Malaysian joint venture. The official amount of the transaction has not been disclosed. But, according to several sources, it would not exceed 100 million USD.
The transaction, which amounts to 49% of the company's capital, is currently subject to the approval of the market regulator, Bank Negara Malaysia (BNM). Should the transaction be completed -normally by the end of 2018- it would make it possible for HSBC Amanah to make a fresh start after the failure, in 2017, of the merger with Allianz Malaysia.
"The Malaysian market has a significant growth potential. The strong economic dynamism, the emergence of a middle class and the low penetration rate are major assets for the development of insurance in the country," said officials of the Hong Kong company.
In addition to its new establishment in Malaysia and to its domestic market, FDW is already operational in seven Asian markets, namely: Indonesia, Japan, Singapore, the Philippines, Thailand and Vietnam.
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