Ty family consolidates insurance units

CONGLOMERATE GT Capital Holdings Inc. has consolidated its non-life insurance business under Charter Ping An Insurance Corp. into the group’s life insurance arm Philippine AXA Life Insurance Corp. (AXA), boosting the portfolio available for cross-selling.

GT Capital, which is led by the Ty family, agreed to sell its 100 percent stake in Charter Ping An – a leading local non-life insurer that provides fire, motor car, marine cargo, personal accident, bonds, casualty and engineering insurance products – to AXA for P2.3 billion.

“We are very excited about this development, as now we can offer our customers a complete suite of protection products,” said Rien Hermans, president and chief executive officer of AXA Philippines. “From protecting themselves, their loved ones, their financial hopes and dreams, and now even their hard-earned assets and properties, we at AXA can be more present in their lives.”

“We have been growing our business steadily and aggressively in life insurance the past several years, making us a top three company for years now,” Hermans added. “With the entry into non-life insurance, we see AXA Philippines building on the top five position of Charter Ping An and definitely become a major player and be a top three company in a few years.”

GT Capital has a 25.3 percent direct interest in AXA while First Metro Investment Corp. (FMIC) – a unit of GT Capital’s banking arm Metropolitan Bank – has a 28.2 percent stake.

“By consolidating its life and non-life insurance businesses, GT Capital further strengthens its presence in the country’s underpenetrated yet fast growing insurance industry. We will clearly benefit from the global insurance expertise of AXA, the local market knowledge and network of Charter Ping An, and the cross- selling opportunities among our component companies,” said GT Capital and FMIC chair Francisco Sebastian.

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