HSBC agrees to sell Singapore life and health insurance unit to Allianz for S$ 2.7 billion

HSBC Holdings agreed to sell its Singapore life and health insurance unit, HSBC Life (Singapore), to Allianz for S$ 2.7 billion (US$ 2.1 billion).

Completion is targeted for the first half of 2027, subject to approval from the Monetary Authority of Singapore.

The deal is expected to deliver a pre-tax gain of US$ 1.8 billion, largely recognized at completion, and is estimated to lift the group’s CET1 ratio by up to 15 basis points.

HSBC and Allianz also plan a 15-year exclusive bancassurance agreement in Singapore, including an initial S$ 0.2 billion cash payment to HSBC.