Mitsui Sumimoto keen on Indian acquisitions

03 February 2009

Mitsui Sumitomo Insurance Group (MSIG), set to become one of the world's biggest insurance companies after a planned merger with two other insurance companies, is keen on acquisitions in China and India.

"I think we will put priority in Asian mergers and acquisitions, especially China, India and Vietnam," MSIG president Toshiaki Egashira told reporters. "It does not mean that we have absolutely no interest in the US. But the US market has lower priority than Asia."

An MSIG spokesperson added that MSIG is eyeing life and non-life insurance companies, especially reinsurance businesses, in China and India, along with the Southeast Asian region.

Unlike number-one rival Tokio Marine, which has been aggressively building its operations in the US through acquisitions, MSIG's overseas forays have so far been focused in Southeast Asia and Europe. Thanks to its recent acquisition of Aviva's entire Asian operations and Mingtai, Taiwan's second-largest non-life insurer, in 2005, the spokesperson said MSIG is currently one of the top five players in almost every Southeast Asian country.

Its announced on Friday that it would integrate with two other Japanese non-life insurance companies - Aioi Insurance and Nissay Dowa – making it Japan's biggest non-life insurance company. "This [the integration] is the best opportunity to change the landscape of the insurance industry. The combined premium revenues of the three will make the integrated company the fifth largest in the world," Egashira said.

Egashira added, "This is the best combination we can think of. We have operational bases in 38 countries. We can build a strong customer base worldwide by combining a global sales network of Toyota, Nippon Life as well as the Mitsui and Sumitomo groups."