Taikang Life, Sunshine Insurance Eying Hong Kong IPO

Another two life insurance firms in mainland China are looking to get listed on the Hong Kong stock market, disclosed people familiar with the matter today,

Taikang Life Insurance Co., Ltd. and Sunshine Insurance Group Corporation Limited, the two insurance firms, plans to raise about USD 1 billion and USD 600 million in their initial public offering (IPO), respectively, said a source.

The two insurers have hired investment banks to hand in their IPO plans, according to the source, noting that Goldman Sachs is likely to serve as a sponsor in the offering for Taikang Life.

The US-based investment bank is in the final stage of talks with AXA Group over an acquisition of an around 12% stake in Taikang Life, in a deal valued USD 1.05 billion.

Taikang Life, the fourth-biggest life insurance in the mainland, reported CNY 67.011 billion in insurance premium and CNY 2.48 billion in profits-after-tax for the entire 2009.

Sunshine Insurance Group, the seventh insurance firm in the mainland, reaped insurance premium of CNY 13 billion in the first half of 2010.