Mergers and acquisitions (M&A) in the Asia-Pacific insurance sector saw a notable decline in 2024, with the number of deals dropping to 77, down from 97 in 2023. This marks the lowest annual total since at least 2020, according to S&P Global Market Intelligence.
The largest deal of the year was the $1.49 billion acquisition of PSC Insurance Group Ltd. by the UK-based Ardonagh Group Ltd. Announced in May and completed in October, this transaction involved Ardonagh purchasing all issued ordinary shares of PSC Insurance at A$6.19 per share. The deal not only represents the largest insurance M&A in the region but also became the most significant publicly disclosed deal in Ardonagh’s history. The acquisition resulted in the formation of a privately owned insurance distribution firm in Australia, with A$3.3 billion in annual gross written premiums.
Following closely behind, Oversea-Chinese Banking Corp. Ltd. (OCBC) made a voluntary general offer to acquire the remaining 11.56% stake in Great Eastern Holdings Ltd., which it did not already own. The $1.03 billion offer, completed in July, increased OCBC’s stake in the Singapore-based insurer to 93.52%.
The third-largest deal involved Woori Financial Group Inc.’s planned acquisition of a 75.34% stake in Tong Yang Life Insurance Co. Ltd., a South Korea-based insurer, valued at $965.2 million. However, the deal remains under regulatory scrutiny due to a recent inspection at Woori Bank that uncovered 233.4 billion won in suspicious loans. If regulators downgrade Woori Financial’s management assessment rating, the deal could face delays or potential cancellation.
In the fourth spot, Insurance Australia Group Ltd. (IAG) agreed in November to acquire a 90% stake in RACQ Insurance Ltd. for $554.8 million. The deal, which is expected to close in the third quarter of 2025, includes an option for IAG to purchase the remaining 10% stake in two years.
Rounding out the top five, Malaysia-based Public Bank Bhd. announced in October its agreement to acquire a 44.15% stake in LPI Capital Bhd. for $402.5 million (MYR1.72 billion).
A notable pending transaction is Assicurazioni Generali SpA’s planned acquisition of a 51% stake in Generali China Insurance Co. Ltd. from CNPC Capital. Announced in early 2024, this deal is set to be the largest transaction of the first quarter and will make Generali the first foreign company to obtain a controlling stake in a Chinese property and casualty insurer through a mandatory public auction.
Regionally, Australia and New Zealand led the deal volume with 24 transactions, followed by Southeast Asia with 14 and Japan with 13.
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