Toronto-based Fairfax Financial Holdings Ltd. announced on Monday that it will acquire an 80% interest in Jakarta-based PT Asuransi Multi Artha Guna Tbk (AMAG) through Fairfax Asia Ltd., its wholly owned Asian subsidiary.
AMAG, a subsidiary of Jakarta-based PT Paninvest Tbk, is a general insurer with more than US$65 million in gross written premiums in 2015, according to a statement.
Upon the closing of the deal, AMAG will integrate with PT Fairfax Insurance Indonesia and become part of the Fairfax Asia group. As part of this transaction, AMAG will also enter into a long-term general insurance bancassurance partnership with PT Bank Pan Indonesia Tbk, known as Panin Bank, which is the seventh largest bank in Indonesia and also a subsidiary of PT Paninvest Tbk
“AMAG has an excellent long-term track record in the Indonesian general insurance sector, a well-diversified sales channel with Panin Bank and this is a great opportunity for us to continue to expand our operations in the region,” says Prem Watsa, chairman and CEO of Fairfax, in a statement.
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