Money

Sun Life Everbright gets nod for revamp

(Agencies)
Updated: 2010-07-27 11:16

China's insurance regulator has approved Sun Life Everbright's proposals to raise funds and revamp its shareholding structure, the Shanghai Securities News reported on Tuesday.

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Headquartered in the northern Chinese city of Tianjin, Sun Life Everbright is currently a 50/50 venture between Canadian insurer Sun Life Financial and Chinese financial group Everbright.

Under the proposals, Sun Life Everbright will issue new shares and bring in new shareholders, in moves that will eventually turn the company into a Chinese-owned entity, the Securities Times said.

Sun Life Financial's stake in the Chinese insurer will be diluted to 24.99 percent after the revamp and Everbright, together with two other Chinese companies, will control the remaining portion, it said.

The new business model will allow Sun Life Everbright to embark on more aggressive country-wide expansion, it added.