Swiss Re Buys 25% In Vietnam Reinsurance Corp For VND1.3 Tln

DOW JONES NEWSWIRES
January 7, 2008 10:02 p.m.

DOW JONES NEWSWIRES

Swiss Reinsurance Co. (RUKN.VX) has bought a 25% stake in Vietnam National Reinsurance Corp., or VinaRe, the country’s largest reinsurer, for VND1.3 trillion (US$79 million), the Swiss reinsurer said late Monday.

As a result of the stake purchase, Swiss Re will be VinaRe’s sole foreign strategic partner.

Headquartered in Hanoi, VinaRe has a staff of 60 and provides a range of reinsurance products and services to life and non-life insurance companies operating in Vietnam.

Under the strategic partnership, Swiss Re will provide technical assistance to the Vietnamese company across all its business, with a focus on reinsurance capabilities.

The transaction is subject to regulatory approval.

“Together with Swiss Re, we plan to enhance our product and service scope, further strengthen our technical capabilities and explore ways to become a competitive international reinsurance company,” VinaRe Chairman Trinh Quang Tuyen said in a statement.

Credit Suisse Group (CS) advised Swiss Re on the deal, while Rothschild Bank and Horizon Capital Advisers were VinaRe’s advisers.

VinaRe’s current shareholders include the Ministry of Finance and state-owned Bao Viet Insurance Co. Its shares are traded on Hanoi’s official over-the-counter market, the Hanoi Securities Trading Centre.

-By Nisha Gopalan, Dow Jones Newswires; 852-2832-2343; nisha.gopalan@dowjones.com