Aeon Financial Service to Enter Life Insurance Biz

Economy

Tokyo, Feb. 5 (Jiji Press)--Aeon Financial Service Co. <8570> has announced a plan to launch a life insurance business by acquiring a Japanese unit of German insurer Allianz SE.

The financial service firm under major Japanese retailer Aeon Co. <8267> said Tuesday it will buy 32,400 new shares to be issued by Allianz Life Insurance Japan Ltd. under a third-party allotment scheme for 3.6 billion yen, gaining 60 pct of the voting rights in the Tokyo-based insurer.

The acquisition procedures are slated to be completed on March 31.

Aeon Financial, which now offers banking and other services, hopes to expand its services through the acquisition.

In February 2012, Allianz Life stopped selling insurance products due to its poor business performance. It now has some 20,000 contracts in force.

[Copyright The Jiji Press, Ltd.]

Jiji Press