|Copyright:||(c) 2011 A.M. Best Company, Inc.|
|Source:||A.M. Best Company, Inc.|
This is the first investment move involving Taikang Life after its original largest stakeholder — French insurer
The transaction “is related to the regulatory requirement” that limits the ability of foreign investors to hold multiple interests in the life insurance sector in
“The deal can also speed up the proposed listing of Taikang Life in the second half of 2011,” said Xia. “Introducing the international banker as a stakeholder, however, doesn’t mean that it will help the insurer to raise more capital for its future initial public offerings,” she added.
Following the deal, Goldman Sachs will become the second-largest stakeholder of Taikang Life.
The two companies will further enhance Taikang Life’s corporate governance, risk management and internal controls. They will also “strengthen cooperation in areas of investment management, product development and both overseas and domestic investments,” said Taikang Life.
“I’m very happy that Goldman Sachs is becoming Taikang Life’s stakeholder. I look forward to cooperate with the bank while Taikang Life is on the way to be gradually internationalized on top of developing itself deeply in the Chinese insurance market,” said Taikang Life’s chairman and chief executive,
In 2010, Taikang Life realized premiums totaling
New China Life has been seen as a candidate to go public in 2011, though Riddell in March could not confirm whether the insurer is planning to go public in
Zurich first invested in New China Life in 2000. As of