ACR Capital’s Backers Approve Acquisition by Shenzhen QianhaiBy and
ACR Capital Holdings Pte, a reinsurer backed by Singapore’s Temasek Holdings Pte., said its major shareholders have approved an acquisition by Shenzhen Qianhai Financial Holdings Co. and Shenzhen Investment Holdings Co.
The buyers will acquire 100 percent of ACR through a jointly owned holding company, Asia Investment Capital Holdings Co., according to a statement on Wednesday from the Singapore-based company. Major shareholders including 3i Group Plc, Temasek, Khazanah Nasional Berhad and Marubeni Corp. have agreed to the transaction, the company said, which didn’t disclose terms of the deal.
Shenzhen Qianhai is in talks acquire ACR for about $1 billion, people with knowledge of the matter said earlier on Wednesday. The agreement would be subject to regulatory approvals, including from the Monetary Authority of Singapore, they said.
Chinese buyers have stepped up purchases of assets abroad as domestic demand for short-term insurance policies soars. Led by Fosun International Ltd. and Anbang Insurance Group Co., mainland firms have announced overseas acquisitions of insurance companies totaling $10.7 billion since the beginning of last year, according to data compiled by Bloomberg.
Singapore-based ACR, led by Chief Executive Officer Hans-Peter Gerhardt, was established in 2006. Besides Temasek, the state investment firm, ACR’s major shareholders include Marubeni Corp., 3i Group Plc and Khazanah Nasional Bhd., according to its website. Its unit Asia Capital Reinsurance Group Pte serves clients in Asia from China to the Middle East, across business lines from property and marine to medical and agriculture.
— With assistance by Klaus Wille