OCBC has agreed to sell its 33.3% stake in Hong Kong Life Insurance to Yue Xiu Enterprises for HKD589.3m (USD76m). The stake, held through OCBC Bank (Hong Kong), comprises 290 million shares. The sale, subject to regulatory approvals and customary closing conditions, values Hong Kong Life at a net asset value of HKD1.02bn as of Dec. 31, 2023. Upon completion, Hong Kong Life will no longer be associated with OCBC.
OCBC said the transaction will not materially impact its net tangible assets or earnings per share for the financial year ending December31, 2024. Shares of OCBC closed 0.2% higher at SGD16.52 on Friday, prior to the announcement.