New ETF Book by Larry Connors - Click here to read more
Reportedly, CIC is interested in Alico Japan, the business unit of Alico in Japan. Also, AXA, Prudential, MetLife and Munich Re Group have shown strong interest in Alico. They are all top insurance groups or reinsurer in the world.
The main problem for CIC is that CIC wants to take a controlling right in Alico but the latter's parent company AIG also wants to remain as the majority shareholder. Goldman Sachs, a long-time partner of AIG, has joined the investment consortium led by CIC.
However, the buyer and the seller declined to tell any detailed information. AIG has three life insurance subsidiaries in Japan, including Alico Japan, AIG Edison and AIG Star. The three's premium revenues totaled up to JPY 2.1 trillion, accounting for one fourth of AIG's global insurance business. Among them, Alico Japan is believed to have the best performance.
Over the past year, CIC suffered losses from overseas investments. In May 2007, it purchased a 10% sake in a US private equity firm called the Blackstone Group, from which, the former has suffered about USD 2 billion floating losses. This January, the Chinese governmental investment agency also bought in Morgan Stanley for a consideration of USD 5 billion and now suffered about USD 4 billion floating losses.
Earlier, AIG was reported to sell the non-core business, including the private banking business and American International Assurance Co., Ltd. (AIA), the Asian subsidiary wholly owned by AIG.
Some leading Chinese financial institutions have shown their strong interest. They include the nation's biggest commercial bank Industrial and Commercial Bank of China; China Life Insurance Company Limited (China Life, 601628.SH, 2628.HK), the biggest life insurer in China's Mainland; and CIC. Also, AIA disclosed that about 30 institutions are interested in its assets.
When asked of the acquisition, an insider from the board office of China Life said that he did not hear of any details. Another executive of China Life Insurance (Group) Company, the parent of China Life, also said that he did not know anything about the deal. A director of China's insurance industry regulator China Insurance Regulatory Commission said that the chance is small for any Chinese insurer to acquire the assets of AIG.
(USD 1 = CNY 6.83)
Source: www.nanfangdaily.com.cn (December 19, 2008)
More News:
Market Updates |
Stock Alerts |
All Trading News |
Stock Index
About TradingMarkets | Contact | Advertise | Careers | Link to Us | Site Map | Help | Terms & Conditions | Privacy Policy | Return Policy | Testimonials | Feedback
The Connors Group, Inc. ("Company") is not an investment advisory service, nor a registered investment advisor or broker-dealer and does not purport to tell or suggest which securities or currencies customers should buy or sell for themselves. The analysts and employees or affiliates of Company may hold positions in the stocks, currencies or industries discussed here. You understand and acknowledge that there is a very high degree of risk involved in trading securities and/or currencies. The Company, the authors, the publisher, and all affiliates of Company assume no responsibility or liability for your trading and investment results. Factual statements on the Company's website, or in its publications, are made as of the date stated and are subject to change without notice.
It should not be assumed that the methods, techniques, or indicators presented in these products will be profitable or that they will not result in losses. Past results of any individual trader or trading system published by Company are not indicative of future returns by that trader or system, and are not indicative of future returns which be realized by you. In addition, the indicators, strategies, columns, articles and all other features of Company's products (collectively, the "Information") are provided for informational and educational purposes only and should not be construed as investment advice. Examples presented on Company's website are for educational purposes only. Such set-ups are not solicitations of any order to buy or sell. Accordingly, you should not rely solely on the Information in making any investment. Rather, you should use the Information only as a starting point for doing additional independent research in order to allow you to form your own opinion regarding investments. You should always check with your licensed financial advisor and tax advisor to determine the suitability of any investment.
HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN INHERENT LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING AND MAY NOT BE IMPACTED BY BROKERAGE AND OTHER SLIPPAGE FEES. ALSO, SINCE THE TRADES HAVE NOT ACTUALLY BEEN EXECUTED, THE RESULTS MAY HAVE UNDER- OR OVER-COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE SHOWN.
The Connors Group, Inc.
10 Exchange Place, Suite 1800
Jersey City, NJ 07302
© Copyright 2009 The Connors Group, Inc.
