Fosun International Ltd. (00656.HK) is looking at acquiring more insurance assets overseas, with markets such as Europe, the United States and Japan particularly in focus, the Hong Kong Economic Journal reported Friday.
The Chinese conglomerate’s vice chairman and chief executive Liang Xinjun believes that many assets will come onto the market due to tightening regulations, the report said.
Fosun is running its insurance business in a model similar to that of billionaire Warren Buffett’s Berkshire Hathaway Inc., using low-cost insurance premium incomes to invest in other industries.
The group is seeking to tap into finance, healthcare, culture and tourism-related property projects that could be complementary to each other.
The conglomerate last year acquired Caixa Seguros in a deal that gave it control of three Portuguese insurers — Fidelidade, Multicare and Cares.
The acquisition enlarged Fosun’s investable assets by 13.56 times to 19.81 billion yuan, sending its premiums pool to 106.79 billion, up seven-fold.
The group expects its business scale to grow as much as ten-fold in the coming five to eight years, chairman Guo Guangchang was quoted as saying.
This article appeared in the Hong Kong Economic Journal on March 27.
Translation by Vey Wong
[Chinese version 中文版]
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