Ageas has completed its subscription to the capital increase of Taiping Pension (TPP), a previously wholly owned subsidiary of China Taiping Insurance Holdings (CTIH).
The transaction, with a cash consideration of €137m, will result in Ageas holding 10% of the enlarged share capital of TPP.
Ageas said its investment in TPP would allow it to leverage the growth opportunities within the Chinese pension market, responding to the rising demand for pension products in China.
The move also aligns with the Belgian insurer’s strategy to focus on solutions for an ageing population, a market opportunity seen in all markets in which Ageas is active.
“This investment enables Ageas to reinforce its presence in Asia’s largest life and pensions market, diversify its business offerings, and further solidify its long-standing strategic partnership with China Taiping,” a spokesperson from Ageas said.
The impact on Ageas’ solvency position is estimated to be around four percentage points under Pillar 2.
