Three year acquisition of the outstanding Council investment CIGNA intends to $ 142 million to be married China Merchants Bank

On June 7, Investment Bank (600,036, unit 's) publishing notice, Board by has on continues to promote investment letter promise life insurance limited 50% equity acquisition work of motion under, agreed continues to in accordance with the on May 5, 2008 on acquisition investment letter promise life insurance limited 50% equity of resolution under, by let Shenzhen Ding respecting investment advisory company by has of investment letter promise life insurance company 50% equity, and authorized operating team continues to promote equity acquisition of related work. Recommended reading insurance weekly: increased warehouse investment over 30,000,000,004 months insurance funded deposits moved near billions of cast even insurance May then case Waterloo income differentiation country life cast even insurance success escape top 5 name foreign executives joined China peace Qian May Beijing insurance intermediary was penalty million history with shares mass insurance holding 20% Qiming: shocks city in the how mining Daniel unit investment bank about persons said, China Merchants Bank acquisition investment letter promise of work still required waiting for approval, 3 years Qian determine of acquisition programme still effective, this means 50% equity price 141.8 million yuan of valuation may does not change. Acquisition of three years after 3 years, China Merchants CIGNA equity valuation will change? Head of the China Merchants Bank one is not clear, only signed in 2008 programme is still valid. On May 5, 2008 through the acquisition of China Merchants Bank cm CIGNA life insurance company Ltd 50% stake in resolution of the Board of the resolution, has 3 years later. After 3 years, China Merchants CIGNA embedded value has changed, not only registered capital of RMB $ 320 million in 2008 from increase of 360 million Yuan and net profit reached $ 171 million. Equity valuation will change? In response, the head of one of China Merchants Bank is not clear, only signed in 2008 programme is still valid. According to the 2008 resolution, purchase merchants CIGNA 50% per cent of the price of RMB $ 141.8 million. 2003 was established in Shenzhen, China Merchants Shiner, by Shenzhen Ding respecting investment consulting company and CIGNA life insurance company of North America holding merchants CIGNA life insurance company of 50% shares, the company registered capital is RMB 200 million Yuan. After four times with the ratio after the capital increase, the registered capital increased to $ 360 million. In fact, Ding respecting investment company located in Shenzhen China Merchants Bank building itself and Hutchison inextricably linked. China Merchants Bank's largest shareholder China Merchants group holds shares of 18.27%, Ding statues holding merchants Shiner 50% equity Advisory is China Merchants Group subsidiaries, investment Bureau is indirectly controlling shareholders. In other words, China Merchants Bank and Ding Zun consulted with a group of brothers. Preparatory investment CIGNA life insurance company of the year and China Merchants Bank is one of the participants. China Merchants Bank before listing, in addition to the Bank, there are also non-banking business and with a number of insurance companies prepare for the establishment of a joint venture insurance company. 2002 China Merchants Bank listing comes as regulators require Hutchison to avoid mixed-industry operation risk to divest non-bank institutions, which includes southern finance company limited (now Bank of China International Capital Corporation Limited), Ding respect is its institutions in the Mainland. For Ding Zun's origin with the China Merchants Bank, the head of the China Merchants Bank said, around 2002 China Merchants Bank are properly split transfer, there is no relationship. In fact, while China Merchants Bank and merchants Shiner is a subsidiary of the China Merchants group, and China Merchants CIGNA has been with China Merchants Bank credit card Center for telemarketing, but is still facing many integration problems and legal issues. This makes China Merchants Bank has acquired merchants CIGNA's practical needs. The responsible person said, before the acquisition was mainly strategic and business cooperation relationship to deepen cooperation. After the acquisition, both open up new business models, enhancing your company's competitive advantage. China 2008 of programmes show that consistent participation in the insurance business and the development of China Merchants Bank strategy, but also further improve the revenue structure, service fees and income from the sale of insurance products is expected to bring stability for non-interest income. Acquisition pending approval queue a Bank of banks and insurance companies insurance company analysis, slowing approval of possibly regulators are still very cautious, do not want a one-time open gate to prevent mixed-industry operation risk. At present, in addition to CMB acquired merchants CIGNA has yet to be approved, China Construction Bank stake in Pacific (601,099, unit) Aetna, ICBC shares Jinsheng life application is waiting for approval. Early in 2010, the first Department of banking insurers BOCOM colonial advent, only Bank of Beijing (601,169, unit) get tickets. A Department of bank insurance company analysis, slowing approval of possibly regulators are still very cautious, do not want a one-time open gate to prevent mixed-industry operation risk. Telephone marketing and China Merchants Bank insurance Shiner present two major business channels, mainly rely on telephone marketing outlets of China Merchants Bank and credit card centre, insurance products and services of the Bank of fused together. According to its Web site data, a total of 16 cm CIGNA insurance products sold by China Merchants Bank. This mode of operation allows the merchants CIGNA robust and rapid development, the company's net profit of 159 million dollars in 2009 and 2010 and $ 171 million. As of April this year, China Merchants CIGNA insurance premium revenue of $ 421 million RMB, ranked 28th in life insurance company. In fact, the full use of the banks and the channel had become a Department of bank insurance company talisman. BOCOM colonial leader has pledged to take full advantage of Bank of communications networks to conduct bank insurance business. By the end of December 2010, CMG silver premiums increased by 2009 in revenue, the top life insurance companies premium growth in the second, total premiums increased share from per cent in 2009 to 0.07% at the end of 2010, premium income rankings is raised by 6. However, banking background is not a panacea. Since February of this year, as the life insurance premium income entered a slow growth channel, part of bank insurance company could not continue to maintain its high growth, increase declined sharply. Replication mode of banks and insurance companies in Hong Kong HSBC life insurance is life insurance premiums are maintained in the trend of declining growth and a steady increase in the per cent per cent trend. In trial mode in the process of banks and insurance companies, banks or insurance there are many way to go.