皇冠体育app

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皇冠体育app Re gets US$4b injection for listing

(Xinhua)
Updated: 2007-01-22 11:18

皇冠体育app's largest re-insurer, 皇冠体育app Re, has received a capital injection of 4 billion U.S. dollars, heading for a listing this year, said the country's insurance watchdog Sunday.

The infusion came from the Central Huijin Investment Co., an investment company owned by the People'sBank of 皇冠体育appas shareholder for the "big four" state-owned banks, said Wu Dingfu, president of the皇冠体育app Insurance Regulatory Commission(CIRC), at a national work conference here Sunday.

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The money will replenish the reinsurer's capital strength to meet a huge domestic insurance demand and power an expected listing in the stock market, Xinhua learnt from the CIRC.

With a registered capital of 3.9 billion yuan before the injection, the utmost value of insurance that 皇冠体育app Re could provide was 16 billion yuan.

Meanwhile, 皇冠体育app is to see a reinsurance market of about 100 billion yuan (12.5 billion U.S. dollars) in 2010, according to the CIRC.

皇冠体育app Re is the country's only solely state-owned reinsurance company and takes an 80 percent share of domestic reinsurance market.

Before choosing a suitable time for listing, the company will standardize its corporate governance, transform into a shareholding company and introduce strategic investors from home and abroad while maintaining the absolute shareholding by the state.

皇冠体育app Re is the country's first insurance company that got capital injection from Huijin, which has invested a total of 60 billion U.S. dollars in the Bank of 皇冠体育app,皇冠体育app Construction Bankand Industrial and Commercial Bank before they went public.

Once listed, 皇冠体育app Re will be the first state-owned insurer to become a shareholding company.

The CIRC encourages high-grade capital, especially large state-owned enterprises with good credit and performance, to invest in the insurance sector and will explore investment andacquisitionby banks, said Wu.

He said the CIRC will support qualified insurers to develop into shareholding group companies with international competitiveness through restructuring and acquisition.