Louis CHEUNG Chi Yan, Executive Director & Group President of Ping An
proposed as member of Fortis's Board
Fortis SA/NV and Fortis N.V. (jointly "Fortis") and Ping An Insurance
(Group) Company of China, Ltd. ("Ping An" or "Ping An Group") today
jointly announced that, as at closing of trading hours on Euronext
Brussels and Amsterdam on 28 November 2007, Ping An Life Insurance
Company of China, Ltd. ("Ping An Life"), a subsidiary of Ping An
Group, owns approximately 4.18% stake in Fortis. The shares have been
purchased through the secondary market, and Ping An Life becomes the
single largest shareholder of Fortis.
In line with its strategy to grow outside of the Benelux, and with a
view to deepening its understanding of the increasingly important
Asian markets, the Fortis Board of Directors has invited Louis CHEUNG
Chi Yan, Executive Director & Group President of Ping An, to become
member of the Board, upon approval by the General Meetings of
Shareholders in April 2008, which is subject to customary regulatory
non-objection process in Belgium. Separately, the parties may explore
co-operations in some of their activities.
Senior management of both companies expect significant long term
advantages to accrue to both parties. The investment in Fortis as
part of Ping An's ordinary course of business using its insurance
fund allows Ping An to further optimize its global asset allocation
and enhance the prospects of achieving a higher investment return.
For Fortis, the investment by Ping An provides it with a stable
shareholder and allows it to gain enhanced access to high-growth
markets, in particular China.
Mr. Peter MA Mingzhe, Ping An's Chairman and CEO said, "The
investment is a major milestone for China's insurance industry. Our
decision to invest in Fortis reflects our strong belief in and
support for their strategy, and will improve Ping An's
competitiveness and allow it to achieve a faster rate of sustainable
growth, and encourage innovation in the use of insurance funds. The
deal will realize valuable benefits because of Fortis's and Ping An's
shared business model of an integrated banking and insurance
platform. Hence, Ping An will benefit from Fortis's expertise in
cross selling, risk management and innovation in product design."
"In line with our strategy to selectively grow in Asia, we are
delighted to invite Louis to the Board of Fortis," comments Maurice
Lippens, Chairman of the Board. "The agreement of Ping An to become a
key shareholder represents a strong vote of confidence from a highly
respected institution. It will raise Fortis's profile in China,
which, combined with an expected increased access to the Chinese
market, will lift our overall growth potential. It is a demonstration
of the global nature of our business and our commitment to China."
The Banker, an international magazine from the Financial Times Group,
has awarded Fortis 'Bank of the Year in Western Europe' on 28
November. Fortis has been present in China since 1902 and has
developed activities in the areas of Bancassurance, Asset Management,
Merchant, Commercial and Private Banking. Its presence has been
developed through joint ventures with Taiping Life (Insurance) and
Fortis Haitong Investment Management (Asset Management). These joint
ventures will not be impacted by Ping An's investment.
About Ping An
Ping An is the first integrated financial services conglomerate in
China that blends its core insurance operations into securities
brokerage, commercial banking, asset management and enterprise
annuities to create a highly efficient and diversified business
profile. It was established in 1988 and headquartered in Shenzhen,
China. It has been listing its H-Shares on the Hong Kong Stock
Exchange under the name "Ping An" since June 2004. On March 1, 2007,
Ping An debuted trading of its A-Shares on the Shanghai Stock
Exchange under the name "Ping An of China". As of 30 June 2007, under
International Financial Reporting Standards (IFRS), consolidated
total assets and total equity of the Group were RMB 617.8 billion
(approximately EUR 60.1 billion) and RMB 97.6 billion (approximately
EUR 9.5 billion) respectively. Its market capitalization as of
October 31, 2007 was RMB 933.6 billion (approximately EUR 86.6
billion). Ping An currently has about 244,000 sales agents and more
than 50,000 full-time employees. By premium income, Ping An Life is
the second largest life insurance company in China. Ping An Property
& Casualty is the third largest P&C insurance company in China. More
information about Ping An is available at www.pingan.com.
About Fortis
Fortis is an international financial services provider engaged in
banking and insurance. It offers personal, business and institutional
customers a comprehensive package of products and services through
Fortis's own channels, in collaboration with intermediaries and
through other distribution partners. With a market capitalisation of
EUR 48.5 billion (31/10/2007), Fortis ranks among the 15 largest
financial institutions in Europe. Its sound solvency position,
presence in more than 50 countries and dedicated, professional
workforce of 60,000 enable Fortis to combine global strength with
local flexibility and provide its clients with optimum support. More
information is available at www.fortis.com.
Annex:
CV of Louis CHEUNG Chi Yan, Executive Director & Group President of
Ping An
Louis CHEUNG Chi Yan, has been an Executive Director since May 2006
and has been serving as Group President and Chief Financial Officer
since October 2003 and February 2003 respectively. He joined Ping An
Insurance Company in February 2000 and previously served as Senior
Advisor to the Chairman, Chief Information Officer, Senior Vice
President and Chief Financial Officer. From 1993-2000, Mr. Cheung was
a management consultant and later became a global partner of McKinsey
& Company, advising mainly financial services clients throughout
Asia. Mr. Cheung has a Ph.D. degree in Business Information Systems
from the University of Cambridge.
Ping An
Press and
Investor
Relations
Contacts:
Mr. Jin +86-4008866338-623487 +86-13902952942 jinsl@pingan.com.cn
Shaoliang
Mr. Sheng +86-4008866338-623557 +86-13502870175 xiaoping002@pingan.com.cn
Ruisheng
Ms. Xiao 86-4008866338-623452 +86-13802709781 xiaoping002@pingan.com.cn
Ping
Fortis
Press Contacts:
Brussels: +32 (0)2 565 35 84 Utrecht: +31 (0)30 226 32 19
Investor Relations :
Brussels : +32 (0)2 565 53 78 Utrecht : +31 (0)30 226 65 66
