Tokio Marine is reportedly considering a sale of its life insurance business in the Southeast Asia region, according to several insiders. The sale, which could be valued at about US$1 billion, is reportedly part of the insurer’s plans to focus on its core operations.
According to insiders close to the matter, the Japanese firm is working with an adviser to gauge buyer interest in its life insurance units in Indonesia, Malaysia, Singapore, and Thailand. While Tokio Marine prefers for the transaction to be wholesale, it’s also considering a piecemeal deal, the insiders said.
A report from Bloomberg revealed that the formal sale process can commence in the coming months, according to one of the insiders. The assets can also be kept for a while longer, as considerations for the sale are still in its early stages.
At the time of writing, Tokio Marine has responded to the report, with a spokesperson saying that nothing has been decided at the moment. The spokesperson also said that the firm always considers disciplined mergers and acquisitions, as well as reviews its business portfolio in general to improve profitability and achieve sustainable growth.
Recently, the insurer unveiled cheap insurance products aimed at gig workers in Malaysia to protect the growing e-commerce economy in the country.
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