MetLife, Inc. (NYSE: MET), Bank for Investment & Development of Vietnam
(BIDV), and Bank for Investment and Development of Vietnam Insurance
Corporation (BIC) signed an agreement today to establish a life
insurance joint venture (JV) in Vietnam. The signing ceremony was
witnessed by Prime Minister Nguyen Tan Dung of Vietnam, Tran Bac Ha,
chairman of the board of management of BIDV, and Kurt Campbell, member
of MetLife’s board of directors and former assistant secretary of state,
during the prime minister’s visit to the United States.
The JV follows the Memorandum of Understanding (MOU) that was previously
signed by both parties in July of this year and delivers on a key
component of MetLife’s strategy: expanding its presence in emerging
markets. At the same time, the JV also represents BIDV’s strategic
direction into the field of life insurance, which is in line with and
complements the bank’s business tradition.
The new JV will have a charter capital of VND 1 trillion (approximately
US$48 million), and MetLife will own 60% of the company and BIDV and BIC
will have the remaining 40%. The joint venture will initially focus on
offering life and health insurance products. Alongside the establishment
of the JV, there is also an exclusive bancassurance distribution
agreement between the JV and BIDV.
The JV, which is expected to be operational in 2014, will leverage the
strengths of two exceptional companies to create a strong and trusted
insurance provider. Vietnamese consumers will benefit from access to
MetLife’s global expertise, financial reliability and a wide range of
innovative products and services. In addition, the JV will also leverage
BIDV’s keen understanding of the financial needs of Vietnamese customers
and its large national branch network of more than 600 distribution
points.
Commenting on the signing, Chris Townsend, president, Asia for MetLife
said, “This JV agreement between MetLife and BIDV expands MetLife’s
footprint into fast growing Southeast Asia and highlights our commitment
to the country. We look forward to partnering with BIDV, a bank with a
long and distinguished history and brand, to deliver a suite of
innovative life insurance products to customers in Vietnam in order to
provide them with the ability to achieve and maintain their financial
security.”
Tran Bac Ha, chairman of BIDV said, “The JV with MetLife is a perfect
complement to our already strong banking business in Vietnam. We are
confident that this new JV business will become a real leader in the
life insurance industry in Vietnam and we are looking forward to
offering Vietnamese people world class insurance products and services
in the near future.”
MetLife, founded in 1868, is the largest life insurer in the U.S. and a
leading global provider of insurance, annuities and employee benefit
programs, serving 90 million customers. Through its subsidiaries and
affiliates, MetLife holds leading market positions in the United States,
Japan, Latin America, Asia, Europe, the Middle East and Africa. MetLife
has been in Asia for more than 60 years. It has operations in nine
countries in the region and is a recognized leader in the industry. It
has been named one of the “World's Most Admired Companies” by Fortune
Magazine (2011), and is ranked 40th on the 2013 Fortune 500
list.
Founded in 1957, Joint Stock Commercial Bank for Investment and
Development of Vietnam (BIDV) is a leading financial institution in the
fields of banking, securities, insurance and financial investment, with
a large banking network in Vietnam. It currently serves 5 million
clients nationwide and BIDV is recognized as a leading brand name in
Vietnam. In 2013, BIDV has been awarded the Domestic Cash Management
Bank of the Year by Asian Money Magazine, and awarded the Top 10 most
famous brand name in Vietnam for three consecutive years (2011, 2012,
2013). It is a diversified financial group with business activities in
the fields of banking, securities, insurance and financial investment.
With more than 18,000 officers, employees and financial consultants,
BIDV serves both individual customers and institutions. BIDV also has a
commercial presence in a number of countries including Laos, Cambodia,
Myanmar, and the Czech Republic; and several joint ventures in Vietnam
with other foreign partners.
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