What’s New: German insurance giant Allianz Group’s China joint venture received approval from China’s insurance watchdog to become the first wholly foreign-owned life insurance company in the country.
Allianz’s wholly owned subsidiary Allianz (China) Insurance Holding Co. Ltd. currently owns 51% of Allianz China Life Insurance Co. Ltd., a joint venture with leading Chinese trust firm Citic Trust Co. Ltd. The Allianz (China) unit will acquire Citic’s 49% stake in the joint venture, the company said Wednesday in a statement.
China is an important strategic market, and the approval puts Allianz in position to maximize its contribution to China’s financial services landscape, Allianz (China) Chairman Sergio Balbinot said in the statement.
The background: Allianz received approval in January from China’s insurance watchdog to set up the first wholly foreign-owned insurance asset management firm in the country, Allianz Insurance Asset Management Co. Ltd.
The approvals reflect China’s opening-up measures and a bilateral investment agreement between China and the European Union that gives each region’s businesses greater access to the other’s markets. As part of the agreement, China agreed to eliminate equity caps or joint-venture requirements in a number of sectors in manufacturing and services.
Contact reporter Denise Jia (huijuanjia@caixin.com) and editor Bob Simison (hello@caixin.com)
Get our weekly free Must-Read newsletter.
