ACE acquires majority stake in Thai insurer
Insurer ACE has completed its acquisition of a 60.9 percent stake in Siam Commercial Samaggi Insurance, a general insurance company in Thailand, from Siam Commercial Bank.
Bangkok-based Siam Commercial is a major writer of auto, small commercial and personal accident insurance. In 2013, the insurer had approximately $155 million in gross premiums written.
In compliance with Thai regulations, ACE and its local Thai partner will make a mandatory tender offer for the remaining 39.1 percent of the company.
The total transaction is valued at approximately $190 million at current exchange rates.
“We are pleased to complete the acquisition of a majority stake in Siam Commercial Samaggi Insurance,” said Evan Greenberg, chairman and chief executive officer, ACE.
“This transaction provides a good strategic fit and is quite complementary to our longstanding presence in Thailand and Southeast Asia. The addition of this well-established and trusted insurer in Thailand will accelerate our growth plans by expanding our product and distribution capabilities throughout the country.
“We also look forward to building on the existing relationship that the company currently has with Siam Commercial Bank, one of Thailand’s largest and most venerable financial institutions.”