Firm expands partnership with Sri Ayudhya Capital to enhance local market presence and accelerate growth in Thailand.
Allianz has acquired a 19.21-percent stake in Thailand's Sri Ayudhya Capital (AUYD) to become its largest shareholder, the German insurer and asset manager announced in a press release.
As part of the deal, Allianz General Insurance will be renamed Allianz Ayudhya Capital and its subsidiary Sri Ayudhya General Insurance will be renamed Allianz Ayudhya General Insurance. The merger will «ensure a stronger insurance franchise focused on meeting the diverse and growing protection needs of local customers and enhancing the Allianz proposition in the region» the press release said.
«Today represents an important milestone for Allianz’s growth ambitions in Thailand and the wider region. The closer relationship between both businesses will increase collaboration and expertise, and deliver an improved customer proposition in the country. These moves reflect the strategic efforts we are making across Asia and we look ahead with confidence,» Allianz Asia Pacific deputy regional CEO Solmaz Altin said.
Strategic Market
Thailand is an important and strategic market for Allianz Asia, with strong potential due to its low insurance penetration as well as robust macroeconomic prospects, Allianz said. Allianz and AYUD’s partnership goes back almost 20 years, and currently serves more than 1 million customers across the country.
Veraphan Teepsuwan remains as Chairman of Allianz Ayudhya Capital, while Bryan Smith, President & CEO of Allianz Ayudhya Assurance (the life insurance business), has assumed the role of President & CEO, Allianz Ayudhya Capital and the newly created position of Country Manager, Allianz Thailand. Lars Heibutzki was appointed President & CEO of Allianz Ayudhya General Insurance.
According to DealStreetAsia, Allianz made a tender offer to buy 56.93 million AYUD shares at 53.32 baht ($1.66) each, totalling 3.04 billion baht ($95 million).
