SINGAPORE (Sept 19): Singapore’s Great Eastern Holdings is said to have engaged at least one Malaysian bank to explore selling its stake in its Malaysian operations for as much as US$1 billion ($1.35 billion).

According to Dow Jones Newswires, the 87%-owned subsidiary of OCBC Bank is among a number of insurers, including British life insurer Prudential PLC and Japan’s Tokio Marine Holdings, to be in the midst of discussions on how to sell close to a third of their stakes in their respective Malaysian subsidiaries – with options including strategic stake sales, or initial public offerings (IPO) in the country.

This alleged move by foreign insurers is seen as an effort to meet Bank Negara Malaysia’s June 2018 deadline to comply with its mandate, which requires that insurance companies within the nation be at least partially-owned by local players.

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