New China Life says ends plans for Internet venture, strategic sale

Reuters News
Posted: Mar 01, 2015 8:29 AM

HONG KONG (Reuters) - New China Life Insurance (NCI) Co Ltd, China's third-largest life insurer, said on Sunday it had aborted the planned sale of a stake to a strategic investor which was to help it develop its Internet insurance business.

The company could not reach an agreement with the unnamed investor over "the vehicle of the strategic investment and other important aspects," New China Life said in a securities filing late on Sunday.

New China Life didn't disclose the name of the investor, but state newspaper Shanghai Securities News reported in January that the company was in talks with Alibaba Group Holding Ltd, the world's biggest e-commerce company, for the potential sale.

Trading of shares in New China Life had been suspended on Jan. 19, pending an announcement. The company requested that trading be resumed on Monday, following its decision to end the proposed strategic tie-up.

(Reporting by Elzio Barreto; Editing by Raissa Kasolowsky)