Sun Life vies for US$3bil Hong Kong Insurer FTLife

HONG KONG: Canada’s Sun Life Financial Inc is among suitors vying to acquire FTLife Insurance Co, in a deal that could value the Hong Kong insurer at more than US$3bil, sources said.

It is competing with other bidders including the billionaire Cheng family’s Chow Tai Fook (Holding) Ltd, according to the sources.

Asian alternative asset manager PAG has held talks with investment funds including Singapore sovereign fund GIC Pte about a potential joint offer.

FTLife’s owner, Chinese investment firm JD Capital, has asked for second-round bids within the next couple weeks.

No final decisions have been made, and the suitors could decide against submitting offers, according to the sources.

JD Capital bought Ageas SA’s Hong Kong Life insurance in 2015 for US$1.38bil and rebranded it as FTLife.

Any transaction would add to the almost US$44bil in insurance deals announced this year in the Asia-Pacific region, a 22% increase from a year earlier, according to data compiled by Bloomberg.

Other bidders could still emerge, the people said.

Reuters reported the sale last week, citing PAG and Chow Tai Fook as potential bidders.

Representatives for Sun Life, GIC and PAG declined to comment.

A representative for Chow Tai Fook’s listed jewelry business said the parent company had no comment, while JD Capital didn’t answer phone calls and an email seeking comment.

PAG, founded by TPG veteran Shan Weijian, said this week it raised US$6bil in its third Asia-focused private equity buyout fund.