South Korea : BNP Paribas Assurance increases stake in joint subsidiary with Shinhan Financial Group
- 24/04/2009
BNP Paribas Assurance and Shinhan Financial Group signed an agreement under the terms of which BNP Paribas Assurance has increased its equity interest in their joint subsidiary SH&C Life Insurance from 50% to 85%.
Shinhan Holding Group’s 50% interest (+1 share) in SH&C Life is transferred as follows: 35% (+ 2 shares) to BNP Paribas Assurance and 15% (-1 share) to Shinhan Bank.
BNP Paribas Assurance has developed savings business in South Korea since 2002 within the framework of a successful partnership with Shinhan Financial Group. The company believes strongly in the potential of the Korean market—the seventh-largest life insurance market in the world—and in its positive growth outlook.
“BNP Paribas Assurance has decided to increase its stake in this joint venture by 35% to bring our Korean clients a broader portfolio of products and personalized services. We are delighted to contribute our expertise and innovation capabilities to the new entity,” said Eric Lombard, Chairman and Chief Executive Officer of BNP Paribas Assurance
The agreement calls for marketing of a range of protection products in addition to the savings products currently available in the country.
SH&C Life Insurance will continue to distribute its products through Shinhan Bank’s 970 branches. It will also deploy its multi-partnership business model with additional product distribution via other financial establishments in the Korean market.
The new unit will announce a new name in the coming months.
