New World Development unit buys Hong Kong insurer FTLife in record US$2.74 billion deal
- NWS Holdings has agreed to buy in cash the entire issued share capital of FTLife Insurance from Beijing-based JD Capital
- The deal tops previous Hong Kong insurance record by Yunfeng Financial Group, which acquired MassMutual Asia for US$1.64 billion in 2017
Hong Kong company NWS Holdings will spend HK$21.5 billion (US$2.74 billion) to acquire local insurer FTLife Insurance, in the biggest insurance deal ever completed in Hong Kong.
The unit of New World Development has agreed to buy in cash the entire issued share capital of FTLife Insurance from Tongchuangjiuding Investment Management Group, in a move to diversify the property developer’s business, the company said in a statement on Thursday.
In August 2015, Tongchuangjiuding Investment Management, also known as JD Capital, paid US$1.4 billion to acquire Ageas, which has since been renamed as FTLife Insurance.
“FTLife will be a great addition to the New World family. Given our deep roots in Hong Kong and our focus on the Greater Bay Area, we believe we are the right platform for FTLife to realise its full potential over the long term,” said Adrian Cheng, executive vice-chairman and general manager of New World Development.
New World Development holds a 61 per cent share of NWS Holdings.