SINGAPORE: Oversea-Chinese Banking Corp (OCBC) said on Monday (Oct 1) that a planned sale of Hong Kong Life Insurance to investment firm First Origin had been called off after the buyer failed to meet certain conditions before a Sep 30 deadline.
OCBC, via a subsidiary OWHB in Hong Kong, owns a third of the insurer - one of the last remaining independent life insurance businesses in Hong Kong. OWHB is one of five owners including Chong Hing Insurance, a unit of Chong Hing Bank.
First Origin International Ltd agreed to acquire the business in March last year for HK$7.1 billion (S$1.24 billion), according to two of the sellers.
"OWHB together with the other sellers have terminated the sale ... on the basis that the closing conditions have not been satisfied," Singapore-based OCBC said in a statement. It did not specify which conditions were not met.
First Origin International Limited forfeited a deposit of HK$710 million to the sellers, OCBC said.
The deal had been awaiting approval from the Hong Kong regulator.