China puts Dajia Insurance on the sales block for US$5.18 billion as regulators seek to offload assets from Anbang Group’s collapse
- The China Insurance Security Fund has offered to sell 98.78 per cent of Dajia on the Beijing Financial Assets Exchange for 33.57 billion yuan
- The stake includes shares owned by Sinopec’s parent, the CBIRC said, without mentioning the stake owned by SAIC Motor
China’s financial regulators are putting Dajia Insurance Group on the auction block, three years after establishing the state-owned caretaker company to manage the assets of the collapsed financial conglomerate Anbang Insurance Group.
The China Insurance Security Fund has offered to sell 98.78 per cent of Beijing-based Dajia on the Beijing Financial Assets Exchange for 33.57 billion yuan (US$5.18 billion), according to a notice filed via the exchange on Friday.
“This sale of Dajia Insurance includes a 0.55 per cent interest held by China Petrochemical Corporation, [which is] to be sold on its behalf by China Insurance Security Fund,” according to the statement.
The stake held by China Petrochemical, the parent of publicly traded Sinopec, is valued at 186.9 million yuan, according to the statement, without mentioning the 1.22 per cent of Dajia held by China’s largest carmaker SAIC Motor.
Dajia, which operates as a financial holding company with stakes in insurance and financial institutions, including one of South Korea’s largest insurers, has 231 employees on its payroll, according to the filing.
It posted a net profit of 2.9 billion yuan last year on revenues of 89.7 billion yuan, as audited by EY’s China unit, the filing said. Net profit amounted to 4.77 billion yuan for the first five months of this year.