Korea firm to buy VietinBank Insurance stake
Hyundai Marine & Fire Insurance Co Ltd (HMFI), the Republic of Korea’s No 2 non-life insurer, has signed a stock purchase agreement to buy a 25 percent stake in Vietnamese non-life insurer VietinBank Insurance Joint Stock Corp (VBI).
Hyundai Marine & Fire Insurance Co Ltd signed a stock purchase agreement to buy a stake in Vietnamese non-life insurer VietinBank Insurance Joint Stock Corp in Hanoi (Photo courtesy of Vietinbank)Hanoi (VNS/VNA) -
Hyundai Marine & Fire Insurance Co Ltd (HMFI), the Republic of Korea’s No 2
non-life insurer, has signed a stock purchase agreement to buy a 25 percent
stake in Vietnamese non-life insurer VietinBank Insurance Joint Stock Corp
(VBI).
The deal is equivalent to 16.6 million shares of VBI, a subsidiary of Vietnam’s leading commercial lender VietinBank. After the sale, VBI will raise its capital to 666.7 billion VND (28.5 million USD).
With this purchase contract, VBI will be supported with capital to enhance its financial capacity and competitiveness, producing impressive results in all of its operational segments.
“HMFI’s purchase of VBI’s shares, becoming its second largest shareholder, has affirmed VBI’s reputation in the field of non-life insurance and the attraction of the company to investors, especially foreign strategic investors operating in the same sector. In the future, VBI commits to continue improving product quality, enhancing customer services and applying modern technology in accordance with the trend of insurance development in Vietnam,” said General Director of VBI Le Tuan Dung at the signing ceremony held recently in Hanoi.
Cheol Young Lee, a representative from HMFI said: “With more than 60 years of experience in the non-life insurance sector and a global network, HMFI wishes to cooperate with VBI and contribute practical and valuable experience to VBI’s development.”
HMFI will focus on supporting VBI in the expansion of its customer network, especially Korean customers in Vietnam, boosting new insurance products suitable for the Vietnamese market, applying new technology in risk management and human resource training, Lee said.
At the signing ceremony, HMFI also signed a strategic partnership agreement with VietinBank.
According to the bank, with the strength as one of the four largest commercial banks in terms of assets and network in Vietnam, VietinBank, VBI’s largest shareholder, commits to providing maximum support to VBI in using existing facilities of VietinBank, developing brand and customer services, as well as the distribution of VBI’s insurance products within Vietinbank’s network of 155 branches and 958 transaction offices across provinces and cities nationwide.-VNS/VNA
The deal is equivalent to 16.6 million shares of VBI, a subsidiary of Vietnam’s leading commercial lender VietinBank. After the sale, VBI will raise its capital to 666.7 billion VND (28.5 million USD).
With this purchase contract, VBI will be supported with capital to enhance its financial capacity and competitiveness, producing impressive results in all of its operational segments.
“HMFI’s purchase of VBI’s shares, becoming its second largest shareholder, has affirmed VBI’s reputation in the field of non-life insurance and the attraction of the company to investors, especially foreign strategic investors operating in the same sector. In the future, VBI commits to continue improving product quality, enhancing customer services and applying modern technology in accordance with the trend of insurance development in Vietnam,” said General Director of VBI Le Tuan Dung at the signing ceremony held recently in Hanoi.
Cheol Young Lee, a representative from HMFI said: “With more than 60 years of experience in the non-life insurance sector and a global network, HMFI wishes to cooperate with VBI and contribute practical and valuable experience to VBI’s development.”
HMFI will focus on supporting VBI in the expansion of its customer network, especially Korean customers in Vietnam, boosting new insurance products suitable for the Vietnamese market, applying new technology in risk management and human resource training, Lee said.
At the signing ceremony, HMFI also signed a strategic partnership agreement with VietinBank.
According to the bank, with the strength as one of the four largest commercial banks in terms of assets and network in Vietnam, VietinBank, VBI’s largest shareholder, commits to providing maximum support to VBI in using existing facilities of VietinBank, developing brand and customer services, as well as the distribution of VBI’s insurance products within Vietinbank’s network of 155 branches and 958 transaction offices across provinces and cities nationwide.-VNS/VNA
You should also see
World economy’s recovery drives Vietnam’s exports
With the recovery of the world market and increasing orders, Vietnam's import and export activities in the first quarter of 2024 prospered and achieved positive results.
See more
Business
Long An, Japan's Okayama city explore cooperation opportunities
Leaders of Vietnam’s southern Long An province and Japan’s Okayama city engaged in a dialogue on April 26 to discuss cooperation between the two localities.
Business
Investor confidence gains traction on improved business climate
Better investment climate, with simplified administrative producers and special incentives, has helped improve investor confidence, thus catalysing investments from a wider pook of both domestic and international investors for socio-economic development.
Business
Vietnam’s rice exports may exceed 2024 target
With positive results recorded so far, Vietnam can exceed its target of 7.6 million tonnes in rice export volume set for 2024, Nguyen Ngoc Nam, Chairman of the Vietnam Food Association, said at a conference in the Mekong Delta city of Can Tho on April 26.
Business
Ample room for Quang Ninh to attract FDI
The northeastern province of Quang Ninh has ample room to attract foreign direct investment (FDI) and realise the goal of attracting 3 billion USD in FDI this year and 10 billion USD in the 2020-2025 period.
Business
Long An, Dong Nai introduce strengths in RoK
The southern province of Long An and Dong Nai introduced their investment climate as well as socio-economic development orientations at an investment promotion conference held in the Republic of Korea (RoK) on April 26.
