Great Eastern in discussions to buy Malaysia's AmMetLife

It plans to acquire AmMetLife Insurance, a MetLife Inc. Malaysian venture.

Insurer Great Eastern has confirmed the ongoing discussions of its plan to acquire AmMetLife Insurance Bhd, it said in a local bourse filing.

AmMetLife Insurance is  MetLife Inc.'s Malaysian venture. Additionally, the deal is said to be valued at around $250m to $300m, according to Bloomberg.

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The insurer further pressed on its preliminary phase and that there is “no certainty that any definitive or binding agreement will be entered into pursuant to these discussions.”

It is also complying with the regulatory requirements of the Singapore Exchange Securities Trading and will publish any relevant disclosures.

The subsidiary of Oversea-Chinese Banking Corp. is currently conducting due diligence and seeking regulatory approval for the transaction. 

The negotiations are ongoing, and an agreement could be reached within the next few months. 

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Great Eastern had previously expressed interest in acquiring AmMetLife, even though Zurich Insurance Group AG was considered the frontrunner at one point. 

AmMetLife was formed in 2014 as a partnership between MetLife and Kuala Lumpur-listed AMMB Holdings Bhd. It offers life insurance and wealth protection services through various branches in Malaysia. 

Great Eastern, founded in 1908, is a major insurer with over S$100b in assets and operates in several countries in the region.