Allianz has agreed to acquire HSBC Life Singapore and enter a 15-year exclusive distribution partnership with HSBC Singapore in a combined €2bn deal, strengthening the German insurer's position in one of Asia's largest insurance and wealth markets.
According to Allianz, the transaction includes the purchase of 100 per cent of HSBC Life Singapore for S$2.7bn (€1.8bn), with the remaining consideration covering the long-term bancassurance agreement. Subject to regulatory approval, the acquisition is expected to complete in the first half of 2027, with Allianz forecasting a double-digit return on investment over the medium term.
The sale forms part of HSBC's strategy to simplify its business and focus on wealth management and wholesale banking across Asia. The bank said the disposal is expected to generate a pre-tax gain of around $1.8bn and increase its common equity tier 1 ratio by up to 15 basis points, while allowing it to adopt a capital-light bancassurance model in Singapore.
Oliver Bäte, chief executive of Allianz SE, said: "Singapore serves as our Asia-Pacific headquarters and is central to our global growth strategy." He added that the city-state is "a forward-thinking, globally connected and resilient market" and said the expansion would help Allianz meet growing demand for protection, health, retirement and wealth products.
According to Allianz, the agreement extends a distribution partnership that has existed between the two companies across Asia Pacific for more than a decade. Under the new arrangement, HSBC Singapore will exclusively distribute Allianz's insurance products for 15 years, giving the insurer access to the bank's affluent customer base while broadening the range of products available to HSBC clients.
HSBC Life Singapore generated an operating profit of €80m in 2025 and had comprehensive equity of €1.2bn, according to Allianz. The insurer offers life, savings and health products through tied agents, independent financial advisers, brokers and bancassurance channels, and has been recognised as the leading insurer for high net-worth individuals in Singapore by the AFFLUENTIAL WealthLens reports for 2024 and 2025.
Renate Wagner, member of the board of management of Allianz SE, said: "With the strategic acquisition of this high-quality business, we build on that strong foundation to support more individuals and communities even more comprehensively, with a broader product portfolio that helps protect and plan for what matters most to them."
