Korea Life Places Final Bid for Tong Yang

Korea Life Insurance said on Friday that it has placed a final bid for a controlling stake worth about $875 million in Tong Yang Life Insurance Co Ltd., Reuters reported. Private equity firm Vogo Fund is seeking to sell an up to 60.7% stake in Tong Yang, worth about 989 billion won ($875.61 million) at the current market value.

(Reuters) – Korea Life Insurance Co Ltd said on Friday that it has placed a final bid for a controlling stake worth about $875 million in Tong Yang Life Insurance Co Ltd.

 

Prudential Financial Inc, the No.2 U.S. life insurer, had also entered a bid for the stake, online media outlet MoneyToday reported, which would enable to better compete with domestic rivals such as Samsung Life Insurance Co Ltd .

 

Private equity firm Vogo Fund is seeking to sell an up to 60.7 percent stake in Tong Yang, worth about 989 billion won ($875.61 million) at the current market value.

 

MoneyToday reported that Vogo aimed to sell its Tong Yang shares at about 26,000 won each versus Friday’s close of 15,150 won.

 

The final round of bidding for the small Korean insurer comes amid the looming sale of ING Groep NV’s Asian insurance operations, potentially Asia’s second-biggest insurance sale ever.

 

Korea Life has also expressed interest in ING’s Asia sale, although industry sources said the company would not pursue the assets should it win control of Tong Yang.

 

Vogo Fund was not available for comment, while the Korea office of Prudential declined to comment.