Sompo Japan to buy 30% stake in Malaysian nonlife insurer

Sompo Japan Insurance Inc., a major Japanese property and casualty insurance company, said Tuesday it has signed an agreement to acquire a 30 percent stake in Berjaya General Insurance Berhad of Malaysia from its parent Berjaya Capital Berhad.

Under the deal valued at 3.2 billion yen, Sompo Japan will provide BGI with its know-how for development of automobile and fire insurance products.

Sompo Japan will send three officials to the management team of the Malaysian nonlife insurance company, effective next February.

Sompo Japan made its first market advance into Malaysia by establishing a representative office in 1972. It hopes to enhance its presence in the steadily growing Malaysian market through the latest deal.