The M&A market in the Asia Pacific (APAC) region has been comparatively resilient in 2024, noted the global law firm Clyde & Co In its "Insurance Growth Report 2024 Midyear Update".
While deal activity is down year-on-year in the region, this decline has been less pronounced than in the US or Europe.
There have also been several large-scale, cross-border transactions in APAC, bucking the trend seen in other regions. The major Japanese carriers continue to expand their regional footprints, with Sumitomo Life’s acquisition of Singapore Life, representing the largest international deal in the region.
Across APAC, several established carriers continued to acquire new operations in the region’s developing economies with 40% of the deals this year being cross-border.
Clyde & Co partner in Hong Kong Joyce Chan said, “Across Asia, the health and life sector remains the main driver of insurance M&A, with market players looking to expand distribution, gain scale, and extend their reach across the value chain.
“Contrary to global trends showing dampened M&A activity in the P&C market, the APAC region has proved to be resilient with solid M&A activity.
“In the InsurTech space, we also see insurers re-assessing their strategies in order to strengthen their positions in the market. APAC insurers are demonstrating greater interest in technology, which is in line with the global trends.”
Volume of deals completed
|
Region
|
1H2024
|
2H2023
|
1H2023
|
|
Asia Pacific
|
23
|
23
|
29
|
|
UK & Europe
|
31
|
59
|
48
|
|
Americas
|
44
|
83
|
79
|
|
MEA
|
8
|
6
|
9
|
|
Total
|
106
|
175
|
171
|
|
Source: Clyde & Co
|