Khazanah Nasional Bhd has partnered Canadian insurer Sun Life Financial Inc to buy a 98% stake in life insurer CIMB Aviva Assurance Bhd and CIMB Aviva Takaful Bhd for RM1.8 billion, which includes entering into a 20-year exclusive bancassurance agreement with CIMB Bank Bhd.
Khazanah and Sun Life are each acquiring 49% of the two companies from CIMB Group Holdings Bhd and Aviva International Holdings Ltd respectively. CIMB Group currently owns 51% of the joint ventures and Aviva holds the rest, but following the deal CIMB Group will retain a 2% interest in CIMB Aviva and CIMB Takaful. The proposed acquisition by Sun Life and Khazanah is subject to regulatory approvals in Canada and Malaysia. The transaction is expected to close by the first half of 2013………………………………………..Full Article: Source