Singapore-based OCBC has made an offer to buy a remaining stake in its insurance arm Great Eastern that would lead to a delisting.
OCBC has made a S$1.4 billion ($1 billion) offer to buy an 11.56 percent stake in Greater Eastern, according to a statement. If successful, the Singapore lender would be able to acquire the remaining stake in the insurer and give it full ownership, leading to its delisting. The offer price values Great Eastern at S$12.1 billion.
«The offer is a natural progression of OCBC's strategy,» said group CEO Helen Wong. «We have been looking at opportunities to best use our capital and believe the offer allows us to deploy our resources into a key business that is expected to be earnings accretive to OCBC.»
