Giant insurance company AXA Asia Pacific Holdings Ltd. (AXA APH), Monday, said it had acquired MLC Hong Kong and MLC Indonesia from National Australia Bank Ltd. worth AU $ 575 million dollars (U.S. $ 426 million).
AXA APH Chief Executive Les Owen said the acquisition was in line with company strategy to accelerate growth in the Asian region, using a strong capital base.
"Margin of life insurance in Hong Kong is very attractive and with high savings ratios have the potential for growth there, life insurance, investment products and wealth management," he said.
In Indonesia, Owen said the acquisition of MLC will spur growth in the number of agents and insurance advisors around 1000 to more than 2.2000 which would place the position of AXA APH as the second largest life insurance companies.
Purchase transactions, the insurance company will be financed from internal capital, the acquisition will be earnings neutral in 2006 and is expected to record positive earnings in 2007, he said.
