Warburg Pincus to set up digital insurance firm in Southeast Asia

Warburg Pincus to Invest $350 Million in Oona Insurance to Establish Digital Insurance Platform in Southeast Asia

Global private equity firm Warburg Pincus has announced that it will invest US$350 million to establish Oona Insurance, a digital general insurance platform in Southeast Asia.

According to Warburg Pincus, this investment is the largest-ever seed funding round for a digital insurance venture in the region.

Oona will be led by Abhishek Bhatia (pictured above), former CEO of FWD Singapore and head of FWD’s new business models division.

Oona will grow its presence in the region through a buy-and-build strategy, with two acquisitions to kick off its operations – PT Asuransi Bina Dana Arta Tbk (ABDA) in Indonesia and Mapfre Insular Insurance Corporation (MIIC) in the Philippines.

Warburg Pincus said the acquisitions will give Oona an initial product portfolio and existing distribution relationships and infrastructure. Both companies will be rebranded as Oona in due course. With ABDA and MIIC under its wing, Oona’s product offering includes motor, property, and group health insurance, aiming to meet local customer demands.

Bhatia said that Southeast Asia’s general insurance market is significantly underpenetrated and “ripe” for digital disruption by a customer-focused organisation with strong technology capabilities.

“I am very excited to partner with Warburg Pincus to build Oona into a truly world-class company,” Bhatia said. “With the support of Warburg Pincus, Oona will continue to explore opportunities to deepen the depth and breadth of its presence in key markets in Southeast Asia. All the assets and operations will be consolidated under a coherent operating model and a common brand and tech stack, positioning us well to capture the rapidly growing opportunities for digital general insurance in the region.”

“With consistently rising incomes and accelerating digital adoption, we believe Oona is well positioned to capture the tremendous growth opportunity for digital insurance across Southeast Asia,” said Saurabh Agarwal, managing director of Warburg Pincus. “We are excited about our partnership with Abhishek and Oona’s talented management team and look forward to leveraging our deep expertise in the insurance sector to support Oona’s growth aspirations.”

Aseana Insurance Set to Acquire Mapre’s Shares in ABDA

Aseana Insurance acquires majority stake

JAKARTA – Aseana Insurance Pte Ltd concludes the acquisition of 62.33% of shares of Mapre Internacional SA in PT Asuransi Bina Dana Abadi Tbk (ABDA) worth IDR 885.67 billion.

In the information disclosure quoted Friday (2/9), Ratih Kusumadilaga, Corporate Secretary of ABDA, confirmed that Aseana’s portion in the company has risen to 87.18% post transaction. “Prior to the completion of this transaction, Aseana’s ownership only clocked up to 24.85% or 154,273,041 shares of the entire shares issued by the company,” she explained.

After this transaction, Aseana claims another 386,924,893 shares, bringing its portion up to 541,197,934 shares of the total issued shares of ABDA.

Aseana Insurance, a subsidiary of the Singapore-based company Aseana, operates under the ownership of Warburg Pincus LLC and its affiliates. Aseana has an impressive issued and paid-up capital of USD 178.59 million, which comprises 178,592,601 common shares and preferred shares valued at USD 1 per share.

It is known for its comprehensive range of insurance products and services. With a strong capital base, the company is well-positioned to provide reliable coverage and financial security to its clients. Whether it’s life insurance, property insurance, or general insurance, Aseana Insurance offers tailored solutions to meet the diverse needs of individuals and businesses.

As part of the Aseana group, the insurance arm benefits from the extensive expertise and resources available within the larger organization. This enables Aseana Insurance to stay at the forefront of the insurance industry, adapting to evolving market trends and regulations.

With its solid financial foundation and commitment to customer satisfaction, it continues to establish itself as a trusted provider in the insurance sector. By offering innovative products and excellent service, the company aims to build lasting relationships with its policyholders, ensuring their peace of mind and protection against unexpected events.

InLife raises stake in Mapfre unit as Spanish partner exits Asia

Insular Life (InLife) Increases Stake in Mapfre Insular Insurance Corp. as MIIC Goes Digital with New Majority Owner

Insular Life (InLife) is raising its stake in Mapfre Insular Insurance Corp. (MIIC) from 25 percent to 40 percent as MIIC transforms into a digital platform for the Southeast Asian market with the entry of a new majority owner.

MIIC is the subject of a $350-million acquisition drive by New York-based private equity firm Warburg Pincus.

The American investor is acquiring MIIC along with PT Asuranci Bina Dana Arta Tbk (ABDA) in Indonesia. Both are to be rebranded as Oona and are intended to be the region’s pre-eminent digital general insurance platform.

InLife said in a statement it had entered into a joint venture agreement with Oona Philippines Holding Corp. while its erstwhile partner in MIIC, Mapfre Internacional SA of Spain (Mapfre) has decided to exit its business interests in Asia, including the Philippines.

Oona will take over with the acquisition of a 60-percent stake in MIIC.

“We attracted a significant investor for our non-life businesses. InLife’s focused execution, strong and tested brand, and wide network were attractions to Oona,” InLife executive chair Nina Aguas said in a statement.

“The joint venture will allow our current and future distribution channels to scale up and provide stronger and better general insurance products delivered using technology,” Aguas said.

She added that the new partnership would boost InLife’s drive to pursue their growth trajectory for their non-life businesses.

Aguas said Oona and InLife are now in the process of completing and submitting all the regulatory requirements related to the joint venture. for approval by the Insurance Commission.