PACIFIC BANK SEEKS CENTRAL ROLE IN MALAYSIA’S INSURANCE SECTOR

Malaysia’s Pacific Bank is looking to join forces with local insurers as it moves to become one of the key players in the country’s insurance market. Chairman Choi Siew Hong said that the bank, which already operates the wholly owned Pacific Insurance subsidiary, had opened preliminary merger discussions with other insurers. “We intend to build up the general insurance underwriting arm into our new core business”, he was quoted today as telling Malaysia’s Business Times newspaper. Pacific Bank is in the process of selling its commercial banking arm, the publication added. The Pacific Insurance unit, which operates 14 branches nationwide and has shareholders’ funds worth more than MR60m, currently contributes slightly more than 20% to the bank’s pre-tax profit. Other finance-related businesses could be acquired after the group rationalises its operations, Mr Choi noted