Press release 26 May 2016
The ERGO Group, Düsseldorf, is entering the insurance market in Thailand by acquiring a minority share of 40.26 percent of Thaisri Insurance from Pailuck Company Ltd., Bangkok. Representatives of both companies signed a share purchase agreement today. The parties agreed not to disclose the purchase price. With the acquisition, ERGO strengthens its presence in Asia as one of its key markets and continues to pursue its international growth strategy.
Thailand’s non-life insurance market offers attractive growth opportunities: Premiums are expected to grow by seven percent per year from 2016 to 2020. The market is highly profitable with net combined ratios in the low 90s. Thaisri Insurance offers a wide range of property-casualty insurance products focusing on motor and property insurance. The company recorded a premium income equivalent to 50.3 million euros last year, with a profit amounting to an equivalent of 8.9 million euros. Thaisri employs about 450 employees with over 70 branches, agent offices and service centres nationwide.
Upon completion of the transaction, the share ownership in Thaisri Insurance of ERGO and members of the founding families Panichewa and Srifuengfung will be 40.26 percent and 59.74 percent, respectively.
Closing of the acquisition is subject to regulatory approval customary for transactions of this type.
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About the ERGO Group AG
ERGO is one of the major insurance groups in Germany and Europe. Worldwide, the Group is represented in over 30 countries and concentrates on Europe and Asia. ERGO offers a comprehensive spectrum of insurance, provision and services. In its home market of Germany, ERGO ranks among the leading providers across all segments. About 43,000 people work for the Group, either as salaried employees or as full-time self-employed sales representatives. In 2015, ERGO recorded a premium income of 17.9 billion euros and rendered benefits to customers of 16.8 billion euros. ERGO is part of Munich Re, one of the world's leading reinsurers and risk carriers.
More at www.ergo.com
This press release contains forward-looking statements that are based on current assumptions and forecasts of the management of ERGO Group. Known and unknown risks, uncertainties and other factors could lead to material differences between the forward-looking statements given here and the actual development, in particular the results, financial situation and performance of our Company. The Company assumes no liability to update these forwardlooking statements or to conform them to future events or developments.