Apr 03, 2019 (LBO) – Publicly listed company AIA Insurance Lanka announced that it will delist the Company’s shares from the official list of the Colombo Stock Exchange in compliance with applicable regulations and procedures.
The proposal to delist was approved by the requisite shareholder majority at the Extraordinary General Meeting held on 27 March 2019.
The delisting of the Company’s shares is based on a revised and final offer made by AIA Company Limited of Hong Kong of 2,500 rupees per share.
AIA Company Limited Hong Kong is a part of the AIA Group of companies, which includes AIA Insurance Lanka.
As authorized by the EGM, AIA Insurance Lanka will be making a formal application to the Securities and Exchange Commission, for their approval to delist the Company’s shares.
The Company said it will be communicating with shareholders and dispatching the offer document to the shareholders on the offer made by AIA Company Limited, upon such approval of the SEC having been received.
“The decision to delist from the CSE is based on AIA Group’s preferred target operating model for its business units of operating as wholly owned subsidiaries, with the parent company being the only publicly listed entity,” the company said.
“Since its entry into Sri Lanka, AIA Group has disclosed its intent to delist AIA Insurance Lanka from the CSE.”
As part of this process, AIA Insurance Lanka secured an exemption, as approved by the Insurance Regulatory Commission of Sri Lanka, from the requirement to be listed on a Stock Exchange, based on the listing of its ultimate parent entity AIA Group Limited, on the Stock Exchange of Hong Kong Ltd.
The company said AIA Insurance Lanka’s license to carry out life insurance business as granted by the IRCSL is not and will not be affected by the delisting of the Company and the business will continue to be supervised by the IRCSL.
It added that policyholder liabilities will not be affected and AIA Insurance Lanka will continue to honour its obligations to its customers.