Wednesday, December 19, 2007

European firms keen on Takaful Malaysia (December 6, 2007)

KUALA LUMPUR: Two Europe-based multinational corporations (MNCs) with local conventional insurance units have emerged as potential suitors for a stake in Syarikat Takaful Malaysia Bhd (Takaful Malaysia).

This was in addition to the two Middle East groups that had already commenced negotiations with Takaful Malaysia, said group managing director Datuk Mohamed Hassan Md Kamil.

“We are still open to other interested parties. In fact, one or two other multinationals are also interested in talking to us through our merchant banks.
“So, we hope to receive all the proposals that will be presented to the board for evaluation,” he told reporters after the company's AGM yesterday.
Takaful Malaysia hopes the new investor would help it expand abroad as it leveraged on the foreign partner's expertise.

On potential markets, the company was looking to penetrate the Middle East through its international currency business unit (ICBU).

Hassan said it hoped to sell non-ringgit products, mainly investment-oriented products, to the Middle East through the new partner as well as expand and capture the increasing potential in the retakaful segment.

“We are in the midst of putting together a US dollar (denominated) product. We expect to launch the first product – with a fund size of US$100mil – in February.
“Once the ICBU is up and running, it is expected to contribute a large proportion to the company's turnover. We are looking at overseas contribution of between 20% and 25% for the financial year ending June 30, 2008, primarily from the ICBU,” he said.
Takaful Malaysia first obtained Bank Negara approval to begin talks with Abu Dhabi-Kuwait-Malaysia Strategic Investment Corp in early October as a potential strategic investor. Late last month, it received consent to start negotiations with Islamic Arab Insurance Co PJSC (Salama).

Hassan said Takaful Malaysia was willing to part with up to 49% stake in the group, including reinsurance arm Asean Retakaful International (L) Ltd, Indonesian subsidiary PT Syarikat Takaful Indonesia and the company itself. As active discussion was already in progress between the Middle East parties and Takaful Malaysia's merchant bank, he was hopeful a deal could be sealed by year-end.

“If the pricing and everything else is favourable, I hope we can agree on a price by the end of December,” he said.

Although the identity of the two European MNCs were not immediately known, foreign insurance players had acknowledged the importance and potential of having a takaful business.

In July, it was reported that Allianz AG did not rule out venturing into the local takaful market after it had successfully established the business in Indonesia.

http://thestar.com.my/news/story.asp?file=/2007/12/6/business/19678422&sec=business

STMB finds another possible buyer for stake (November 19, 2007)

By DALJIT DHESI
HOT on the heels of its recent approval to commence discussions with Abu Dhabi-Kuwait-Malaysia Strategic Investment Corp, Syarikat Takaful Malaysia Bhd (STMB) is waiting to start negotiations with another suitor from the Middle East for a strategic stake in STMB.

Group managing director Datuk Hassan Kamil told StarBiz that STMB recently submitted a letter to Bank Negara seeking approval to commence discussions with a Middle East-based company.

It hopes to receive the central bank's reply in about a week's time.
“We now have two potential suitors, a consortium and a company, both with solid track records. We will accept any of the two that gives us the best deal and will add value to the group.

“Apart from the right price, the company will also consider other factors like expertise, business opportunities as well as good working relationship and “chemistry” between the board and its suitors,'' he added.

He said the Middle Eastern company had strong distribution network in the continent (Middle East) and would facilitate in the distribution of its products there.
Malaysia's first Islamic insurer received Bank Negara's green light last month to commence negotiations with the Abu Dhabi-led consortium for the sale of a strategic stake in the group.

According to Hassan, although the suitors have not met face-to-face, at end of the day there could be a possible partnership between the two to acquire up to 49% of the group, as both were capable to add value to STMB.

The proposed disposal of the strategic stake in the group include collectively its reinsurance arm Asean Retakaful International (L) Ltd, its Indonesian subsidiary PT Syarikat Takaful Indonesia, apart from the company itself, he noted.

On another note, he said the company hoped to receive a proposal from the consortium by end of the month, as currently it (consortium) was conducting due diligence and working with merchant bankers on some proposals.

Hassan said he hoped the foreign market would be a bigger contributor to the group's revenue upon completion of the deals.

http://thestar.com.my/news/story.asp?file=/2007/11/19/business/19474803&sec=business

Mayban Fortis aims for RM7.7b gross premiums (November 16, 2007)

It expects to achieve this via new corporate identity Etiqa

KUALA LUMPUR: Mayban Fortis Holdings Bhd is targeting gross premiums and pre-tax profit of RM7.7bil and RM500mil respectively for its financial year ending June 30, 2009 (FY09).

The insurance and takaful arm of Malayan Banking Bhd (Maybank) plans to achieve this through its new corporate identity, Etiqa, which was launched yesterday.

Etiqa Insurance Bhd and Etiqa Takaful Bhd chairman Tan Sri Megat Zaharuddin Megat Mohd Nor said Etiqa would be a single brand for all conventional and takaful businesses under Mayban Fortis.

“Our aim is to become number one in conventional and takaful insurance in Malaysia,” he told a press conference yesterday.

The Etiqa brand comprises five operating entities under two subsidiaries for conventional and takaful insurance, namely Malaysia National Insurance Bhd (now Etiqa Insurance Bhd) and Takaful Nasional Sdn Bhd (now Etiqa Takaful Bhd).

Mayban Fortis acquired both in 2005.

Megat Zaharuddin said Mayban Fortis was already the leader in the takaful business in Malaysia, with a market share of 54% in 2006, and was ranked second and third in the general and life insurance businesses respectively.
For FY07, Mayban Fortis recorded gross premiums and pre-tax profit of RM4bil and RM313.5mil respectively. Gross premiums from the takaful division alone stood at RM900mil.

Mayban Fortis has forecast its takaful division to record gross premiums of RM1.9bil for FY08.

Despite having a controlling share in the takaful market, Megat Zaharuddin said there was room for growth in the segment.

“The takaful segment currently comprises 6% of the overall insurance industry, and we want to grow it.”

He said the company would achieve its goal by educating the public on the importance of takaful insurance and providing the products and services that were affordable and meaningful to the public.

He also said that unifying the conventional and takaful insurance segments would allow for cross selling between agents from both fields and create stronger growth. Mayban Fortis currently has 14,000 agents nationwide.

Formed in 2001, Mayban Fortis is 70% owned by Maybank, with the remaining 30% owned by Fortis Insurance International NV, a leading European integrated financial services company.

http://thestar.com.my/news/story.asp?file=/2007/11/16/business/19486522&sec=business

Microsoft Adds Support for FileAct and InterAct to BizTalk Accelerator for SWIFT (Oct. 11, 2006)

New BizTalk adapters extend connections to SWIFTNet, helping enable STP and lower operational costs.

SYDNEY, Australia — Oct. 11, 2006 — Microsoft Corp. announced today at Sibos 2006 that it now supports the full complement of SWIFT messaging services, adding adapters for SWIFTNet FileAct and InterAct to Microsoft® BizTalk® Accelerator for SWIFT. In addition, the solution has been granted a SWIFTReady Gold Financial EAI (enterprise application integration) label for the third year running.
Using BizTalk Accelerator for SWIFT’s new support for FileAct and InterAct can help financial firms achieve substantial cost savings when exchanging bulk payment files. The new BizTalk adapters facilitate the real-time exchange of financial information across SWIFTNet and enable externally supplied applications to fully utilize the features of InterAct and FileAct.
“SWIFT’s relationship with Microsoft is an important strategic alliance,” said Johan Kestens, head of marketing at SWIFT. “The solutions Microsoft and its partners are developing for SWIFTNet demonstrate real benefits for our customers as they simplify support for SWIFT messaging services.”
“When using SWIFTNet messaging services such as FileAct and InterAct, customers have indicated a clear need for technology that improves connectivity to SWIFT to help enable substantial cost savings,” said Robert Wahbe, corporate vice president, Connected Systems Division at Microsoft. “Microsoft has extended BizTalk Accelerator for SWIFT with FileAct and InterAct adapters as it provides customers with a platform through which to connect SWIFT and existing line-of-business applications, and achieve these goals.”
“The industry is calling for greater automation, more standardized business process flows in the payments area, and the continuation of the drive toward a single market,” said David Vander, worldwide managing director of Banking at Microsoft. “Microsoft and its partners are working to provide solutions for the industry that are efficient and cost-effective and enable employees to help their companies seize market opportunities, make smart decisions and realize maximum value from technology investments.”
The added Microsoft BizTalk adapters for SWIFTNet InterAct and FileAct provide connectivity between Microsoft BizTalk Server 2006 and the SWIFT Secure IP Network (SIPN) via the SWIFTNet link APIs. SIPN enables SWIFT customers to transfer messages and files using InterAct and FileAct respectively, over a security-enhanced, private network, and facilitates bilateral communication between financial institutions, industry infrastructures and customers.
BizTalk Accelerator for SWIFT enables customers to simplify their infrastructure and connect to SWIFT across one integrated messaging platform, helping deliver rapid return on investment by reducing the complexity of bilateral communications between institutions. It also provides customers with enhanced messaging capabilities, delivers specific formats and provides schemas for financial messaging standards and middleware integration tools.
At Sibos 2006, Microsoft is demonstrating how it enables partners to build sophisticated applications using SWIFTNet services, solutions and standards. The following are among the partners exhibiting with Microsoft at Sibos:
• Avanade, demonstrating SWIFTNet Cash Reporting
• Message Automation Ltd., demonstrating the potential for leveraging Financial products Markup Language (FpML) connectivity over SWIFTNet
• SAGA Services Ltd., demonstrating support for low-value payments
• TEMENOS, demonstrating connectivity of TEMENOS T24, its modular core banking solution to SWIFT
• Unisys, demonstrating support for SWIFTNet Bulk Payments
• WealthCraft Systems Ltd., demonstrating its solution for SWIFTNet Funds

http://www.microsoft.com/presspass/press/2006/oct06/10-10MSSWIFTPR.mspx

Bank Islam to improve service - It will use UUM survey results as benchmark (November 13, 2007)

KUALA LUMPUR: Bank Islam Malaysia Bhd expects to improve customer service standards for its existing 1.5 million clients besides drawing in new customers based on a Customer Satisfaction Index (CSI) benchmark established by Universiti Utara Malaysia (UUM).
According to corporate affairs and business development general manager Datuk Wan Ismail Wan Yusoh, Bank Islam appointed UUM to carry out surveys at all its 90 branches to obtain customer feedback from April this year before launching its new corporate identity on Aug 21.
“The survey results have assisted Bank Islam tremendously in building the framework and establishing the direction of its corporate rebranding exercise,” Wan Ismail told reporters after signing the memorandum of understanding with UUM Deputy Vice-Chancellor (Academic and International Affairs) Assoc Prof Dr Abdul Razak Chik.
The first phase of the project, involving more than 5,000 respondents, mainly Bank Islam customers, asked customers a standard set of questions on the bank’s products and level of service. It was completed in June.
“As part our efforts to stay competitive after 24 years in operation, we are the pioneers in establishing our own CSI in Malaysia,” Wan Ismail said, adding that Bank Islam had to date spent RM300,000 on the project.

He said the survey results were used to remodel its branch in Shah Alam, which was Bank Islam’s first to be provide electronic banking facilities such as cash and cheque deposit machines and Internet banking.
The other Bank Islam branches are due to be remodelled in stages.
Wan Ismail added that UUM stood to benefit from the joint venture as the institution of higher learning would be have the opportunity to apply its research theories commercially, particularly in the banking sector.

http://biz.thestar.com.my/news/story.asp?file=/2007/11/13/business/19452817&sec=business

Bank Islam offers RM250mil to SMEs going abroad (October 31, 2007)

KUALA LUMPUR: Bank Islam Malaysia Bhd hopes to get loan applications worth RM250mil from small and medium entrepreneurs pursuing overseas projects by the financial year ending June 30, 2008.
To date, it had identified 20 companies for that purpose, for which RM120mil worth of loans were in the processing stage, managing director Datuk Zukri Samat said yesterday.
“Most of the companies are involved in construction, having either secured contracts or in the bidding stage.
“So far, most projects are in the Middle East,” he told reporters after Bank Islam and Exim Bank signed an agreement on an overseas guarantee facility.
Exim Bank, which manages Bank Negara's Overseas Projects Fund worth RM1bil, will provide guarantees up to 80% of the financing extended by Bank Islam to eligible customers under the facility.
It is for Malaysian-owned or controlled companies that are negotiating, bidding or have secured contracts overseas and is open to all economic sectors, except privatisation and concession type of contracts.
Government-linked companies are excluded from this programme.
Bank Islam, which has just undergone a rebranding exercise, also plans to increase its share of corporate loans.
“Of course, we would like to increase our share in the corporate segment ... we have set up a corporate banking division to concentrate on sukuk (but) the business will take a while (to generate),” he said.
Of its total loans portfolio, 63% is in consumer financing and the rest corporate loans.
Exim Bank managing director Datuk Kamal Mohd Ali said the bank had disbursed over RM100mil in loans and another RM100mil were in the pipeline for disbursement by year-end.
“We actually targeted to approve RM300mil to RM400mil, but dealing with cross-border contracts also involves other countries.
“So it takes time, and there are areas that we have to consider before disbursement,” he added.
Bank Islam can finance up to 90% of the contract value in ringgit and major currencies such as the US dollar, sterling, euro and yen with a tenure of up to 10 years.
The maximum financing per application is RM100mil or equivalent, with a competitive financing rate at effective cost of funds plus a maximum spread of 1% a year . – Bernama

http://thestar.com.my/news/story.asp?file=/2007/10/31/business/19326778&sec=business

Bank Islam's gateway to Europe (September 18, 2007)

Tie-up paves way for Bank Islam to offer Islamic services in Europe
KUALA LUMPUR: Bank Islam Malaysia Bhd will gain entry into Europe's fast-growing Islamic financial services industry through its newly formed partnership with Britain-based European Islamic Investment Bank Plc (EIIB).
The tie-up would give Bank Islam an immediate presence in Britain and Europe without the need to set up physical infrastructure while providing EIIB with a platform to expand its business to Asia, managing director Datuk Zukri Samat said.
Bank Islam, he said, would be able to boost its fee-based income by drawing on EIIB's expertise and capabilities in corporate finance and advisory services.
“Bank Islam and EIIB will jointly originate, structure and distribute a range of innovative Islamic financial products, particularly in fee income generating areas such as capital market, treasury and wealth/asset management,” he said after the signing of a strategic collaboration accord with EIIB yesterday.
Zukri said as a start, Bank Islam and EIIB would jointly bid to be lead arranger for a US$300mil sukuk to be issued by a Malaysian company.

The outcome of the bid would be known in a month and if successful, both parties would market the sukuk primarily to European foreign investors, he said.
Meanwhile, Bank Islam's medium-term plans would be to develop its human capital by tapping into EIIB's skills in investment banking.
“We will initiate a staff exchange and secondment programme to leverage on each other's expertise,” Zukri said, adding that the initiatives would enable Bank Islam to take advantage of Government incentives to accelerate the development of Malaysia as an international Islamic financial hub.
On the bank's progress in addressing legacy non-performing finances (NPFs), or non-performing loans (NPLs), he said Bank Islam had identified an interested party and was looking to sell more than RM2bil of gross NPFs to it.
“This is our gross NPL, which we have identified to carve out. Our aim is to bring our NPF level below the industry average. Hopefully, it will be finalised by the year-end,” he said, adding that the party was currently carrying out due diligence.
As at June 30, Bank Islam's gross and net NPFs was RM2.15bil and RM943mil respectively. The “carve-out plan” is part of the bank's recapitalisation and restructuring scheme to strengthen its balance sheet.
EIIB managing director John Weguelin said that Malaysia was an attractive gateway to Asia due to its financial, legal, regulatory and syariah infrastructure.
“EIIB gains a footprint in Malaysia with access to the infrastructure to originate and distribute in this market,” he said.
Weguelin said both parties would work together on a non-exclusive basis to increase international awareness of Islamic finance. “This will include the development and distribution of Islamic financial products and the sharing of technical expertise and knowledge through joint ventures.”
Headquartered in London with a representative office in Bahrain, EIIB is the first independent syariah-compliant Islamic investment bank to be authorised and regulated by Britain's Financial Services Authority.
The firm started trading in April last year and reported a pre-tax profit of £1.9mil on revenue of £7.8mil for the year ended Dec 31, 2006.
EIIB is listed on the Alternative Investment Market of the London Stock Exchange.

http://biz.thestar.com.my/news/story.asp?file=/2007/9/18/business/18915302&sec=business

Less painful way to own a house (September 8, 2007)

FROM Jan 1 2008, EPF contributors can make monthly withdrawals from their Account 2 balances to pay off their housing loans.
“For many of us, a house is a very important asset. A house not only appreciates in value over time, but also provides security for our future. Housing repayments, however, are a major financial commitment.
“This move will benefit five million active EPF contributors. It will also enable contributors to own better houses and lessen their monthly financial obligations,” said Prime Minister Datuk Seri Abdullah Ahmad Badawi.
There is also a proposed 50% stamp duty exemption on the transfer of documents for houses costing less than RM250,000.
To promote family values and financial security, full stamp duty exemption will be given on transfer of property from husband to wife.
“In cases where the wife wishes to transfer property to the husband, the same exemption applies,” he said.
To help those without fixed incomes to buy houses, the Government will establish a fund to provide guarantees to banks, which in turn will be asked to give loans to such groups of people.
“These will include farmers and small traders, also those who have the capacity to repay their housing loans but are unable to provide proof of their income stream,” said Abdullah.
For a start, RM50mil will be allocated to Bank Simpanan Naisonal and Bank Islam Berhad to kick-start the scheme, beginning Jan 1.
To help the poor, RM381mil will be given for the implementation of low-cost housing programmes, Abdullah said.
The Syarikat Perumahan Negara Berhad (SPNB) has been directed to rehabilitate 6,000 units of abandoned houses. It will also build 36,000 affordable homes and 4,000 Rumah Mesra Rakyat (homes for the people).
Next year, 13,000 quarters for civil servants are expected to be completed.
The Government has allocated RM887mil in 2008 to build more quarters for civil servants nationwide.
As for the orang asli, from the RM170mil provided to the Department of Orang Asli, RM50mil will go to housing assistance and social amenities for them.


http://thestar.com.my/news/story.asp?file=/2007/9/8/nation/18821072&sec=nation

Bank Islam chalks up highest profit (September 7, 2007)

KUALA LUMPUR: After posting two years of heavy losses, Bank Islam Malaysia Bhd has reported a turnaround for the year ended June 30, 2007 (FY07).
The bank chalked up its highest profit before zakat and tax of RM255.5mil on revenue of RM1.03bil compared with a loss before zakat and tax of RM1.28bil on revenue of RM948.9mil in FY06.
Managing director Datuk Zukri Samat attributed the strong performance to operational turnaround and the bank’s intensive loan-recovery programme.
“Going forward, we would like to grow our profit from operations. We expect contribution from operations to be substantial in the current financial year,” Zukri said after a briefing on its financial results.
On the bank’s progress in addressing legacy non-performing finances, he said a local party was currently conducting due diligence on the loans and a “carve-out plan” was expected to be finalised year-end.

The “carve-out plan” is part of Bank Islam’s recapitalisation and restructuring programme to strengthen the balance sheet.
While treasury and corporate investment banking had been identified as potential avenues to grow fee-based activities, Zukri said fund-based income would continue to be the main revenue contributor to the company.
He also said the company was expected to enter into a strategic partnership with a European bank next month, which was in line with the company’s strategy of becoming a global Islamic banking player.
“It is not necessary that we have physical presence abroad to be a global player. It can be done through strategic tie-ups and offshore deals,” he said, adding that the company would continue to look out for strategic tie-ups.
Bank Islam’s total assets and customer deposits increased 30.9% and 22% to RM19.1bil and RM17.6bil respectively in FY07. Its earnings pre share was 17.4 sen compared with a loss of 175.2 sen in FY06.

http://biz.thestar.com.my/news/story.asp?file=/2007/9/7/business/18807940&sec=business

RM54m Bank Islam re-branding (August 22, 2007)

SHAH ALAM: Bank Islam Malaysia Bhd is investing about RM54mil to remodel its 90 branches nationwide in line with the bank’s revamped corporate identity.
The branch re-branding exercise is part of the bank’s transformation programme implemented last September following two years of financial difficulties.
Managing director Datuk Zukri Samat said he expected the re-branding exercise to elevate the bank’s corporate image and change perception of the bank as one that catered solely to Muslims customers to one that was meant “for everybody”.
“We are looking to grow our non-Muslim customer base, which currently stands at 10% of the bank’s one million customers,” he said at the launch of Bank Islam’s new corporate identity yesterdayat its first remodelled branch in Shah Alam.
The re-branding exercise, to be completed in 12 months, will see another 20 branches remodelled by year-end.

Minister in the Prime Minister's office Datuk Dr Abdullah Md. Zin and Bank Islam Malaysia Bhd managing director Datuk Zukri Samat at the official launch of Bank Islam's New corporate identity and new remodelled Shah Alam branch opening on Tuesday.
Zukri said the bank had spent about RM1mil on transforming the Shah Alam branch into its flagship outlet. Remodelling the other branches is expected to cost an average RM600,000 per branch.
“We believe this new brand positioning will help Bank Islam stay competitive in the face of growing competition locally and regionally, and help achieve the bank’s vision, which is to be a global leader in Islamic Banking.”
On the bank’s transformation programme, he said it had to be carried out in stages.
“We are fixing a moving aeroplane, so we cannot fix all the engines in one go,” he said.
Zukri also said as part of cost rationalisation, the bank was considering outsourcing some of its non-critical business units like ATM services.
He also said the bank’s information technology system, which had been in place for the past 15 years, was not “robust enough to move the bank forward and compete” and would be upgraded at an estimated cost of RM100mil.
Moving forward, Zukri said the bank expected next month to sign a “mutually beneficial partnership” with a European bank to develop syariah-based products.

http://biz.thestar.com.my/news/story.asp?file=/2007/8/22/business/18661825&sec=business

Risk-based capital deadline by 2009 (October 30, 2007)

KUALA LUMPUR: Insurance companies must implement the risk-based capital (RBC) framework by Jan 1, 2009, Bank Negara deputy governor Datuk Zamani Abdul Ghani said yesterday.
He said the RBC framework, aiming to create a strong risk management culture, started its parallel run in 2007 with a two-year timeframe but insurers who were ready would be allowed by the central bank to implement it next year.
“The implementation of the RBC framework will give more flexibility if the (insurance) operator is good,” he told reporters at the 23rd Pacific Insurance Conference here.
The new requirement is to facilitate more efficient capital structures and provide greater investment flexibility to insurers without compromising on prudential standards.
Under the risk-based regulatory regime, responsibility for the implementation of risk management, market conduct governance and assessment of risks and management of the financial conditions of an insurer, will increasingly rest with its board of directors and senior management.
Earlier, Zamani said the insurance industry, including the takaful sector, recorded a combined premium growth of nearly 10% for both life and general segments to reach RM13bil in the first half of this year.
He said the assets of life and general insurance funds registered a double-digit growth of 14% to RM116bil as at June 30 this year, up from 11% in the previous corresponding period.
On the takaful industry, Zamani said the market penetration level remained low, with less than 5% in many Muslim countries and 6.8% in Malaysia, thus providing significant market potential that remained untapped. – Bernama

http://thestar.com.my/news/story.asp?file=/2007/10/30/business/19314963&sec=business

Tuesday, December 4, 2007

Smooth merger for Allianz (December 4, 2007)

By DALJIT DHESI
PETALING JAYA: Allianz Malaysia Bhd (AMB), which tomorrow marks the 100th day of its acquisition of Commerce Assurance Bhd (CAB), will focus on three main areas to ensure the success of this integration.
Chief executive officer Alexander Ankel said the three core areas were branch relocation, information technology and human resources.

With the completion of the acquisition of CAB on Aug 28, the company now has three subsidiaries – the other two being Allianz General Insurance Co (M) Bhd (AGIC) and Allianz Life Insurance Malaysia Bhd.

With the acquisition, AMB is now the country's second-largest general insurer with about 10% market share and an expected premium income of RM1bil by year-end. It currently has 56 branches: 34 for Allianz and 22 for CAB.

“We have relocated and integrated 10 branches and hope to do (the same for) another seven by the end of January. The entire process is expected to be finalised in six months,'' Ankel said in an interview.

Synergising the IT infrastructure would also offer a uniformed platform for customers in the business and significantly reduce turnaround time for insurance documents and add value to both agents and customers, he added.

He said AMB had introduced electronic agent systems to support its motor business and make its branches one-stop service centres for customers.

Ankel said the company was also streamlining the policy printing and distribution in CAB and AGIC to facilitate the issuance of motor policies on the spot and provide customers with the necessary insurance documents of all other lines of business within 14 days.

On the human resources side, he said AMB placed great importance on communication, transparency and sincerity during the integration, as these were vital factors in any integration exercise.

“That is why I committed myself to visiting each CAB branch to meet all their staff, major agents and some CIMB bank branches.

“This is to clearly communicate one strategy and one direction to all our new colleagues. This whole visiting was done within the first 30 days of the acquisition,” he said.

Ankel said AMB, under a 10-year bancassurance agreement with CIMB Bank, could also tap the bank's 4.5 million customer base and 393 branches nationwide to sell its bancassurance products.

He said with a total agency force of about 8,000, AMB would also continue to grow its broking and bancassurance portfolios.