China’s Citic mulling buying stake in Dajia insurance group

Citic could end up buying a 20% stake in the company.

China’s largest conglomerate, Citic, is said to be in talks to buy a stake in Dajia Insurance Group Co., a company created three years ago to take over assets of the now-defunct  Anbang Insurance Group Co., a report by Bloomberg said.

According to unnamed sources, Citic has been directed by the government to conduct due diligence on Dajia, after the insurance operator failed to find qualified private buyers.

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The state-owned Citic could potentially acquire a 20% stake in Dajia, sources said. The plan has yet to be finalised and is subject to regulatory approval.