日韩精品久久一区二区三区_亚洲色图p_亚洲综合在线最大成人_国产中出在线观看_日韩免费_亚洲综合在线一区

China Life Insurance plans shareholding reform this year
( 2003-01-23 10:29 ) (1 )

China Life Insurance Co, the country's largest life insurer, is to introduce its long-awaited and massive shareholding reform this year. The move is part of its aggressive business campaign to make the Fortune Global 500 company list.

The milestone shareholding reform will be in two stages and include an inner restructuring and an initial public offering (IPO) on overseas stock markets - possibly in both Hong Kong and New York.

Following repeated reviews by top regulators, the reform plan has already got the green light from the State Council, said Wang Xianzhang, general manager of the firm which boasted total assets of 221.2 billion yuan (US$26.71 billion) by 2001.

It is the second State-run large insurer to get the nod from China's cabinet for such a landmark move following the People's Insurance Company of China, China's largest State-run property insurer late last year.

Waiting in the wings for approval by senior regulators are China Re, China's sole reinsurer and China United Insurance Corp, a wholly State-run insurer based in the Xinjiang Uygur Autonomous Region.

The company is now ready to activate the milestone reform by setting up a shareholding firm that will be listed on the market, said Wang, on the eve of the opening of its annual working conference, scheduled for today. Some progress on the IPO has already been made in a number of areas, such as restructuring principles, asset ratings and information and the gathering of legal documents among its 35 provincial branches, said Wang.

Other areas that the company is to focus on are tie-ups with strategic corporate investors, brokerage firms, development of a prospectus and applications to securities watchdogs in China and abroad, he said.

Shareholding reform will become one of China Life's most highlighted goals, and firm progress is set to be made in 2003, added Wang.

If successful, it is expected the listing will be one of the largest of its kind undertaken by a Chinese financial institution.

A shareholding reform, followed by a public flotation, is believed, by top decision-makers, to be the only way to cement their capital base and shore up corporate governance to survive the fierce competition following China's accession to the World Trade Organization.

By forging alliances with cash-strapped domestic firms, foreign firms could also gain rapid market access and larger stakes in the rapidly expanding Chinese insurance market.

China Life has not disclosed further details.

In 2002, it posted record premiums of 128.7 billion yuan (US$15.6 billion), up 58 per cent year-on-year, and accounted for 56.59 per cent of the country's total life insurance premiums.

By the end of 2002 China was home to 52 insurance firms, including five State-owned companies, 15 smaller shareholding firms, 20 joint ventures and 14 branches of foreign firms.

The size of the market will continue to grow rapidly, given the low level of insurance in China's market, said Wang Xujin, director of the Insurance Department under the Beijing Technology and Business University.