Associação Mutualista will not search for possible candidates to purchase Montepio's insurances in a near future, given that the regulator rejected the deal with the Chinese from CEFC.
Associação Mutualista Montepio Geral (MGAM) did not give up on the sale, but it will not actively search for a new buyer for Montepio’s insurance branch. The decision is made by the entity headed by Tomás Correia after the Portuguese insurance regulator, ASF, failed the proposal presented by the Chinese of CEFC China Energy to purchase Montepio Seguros.
“Since the opportunity that was made public (CEFC) did not move forward, MGAM will not actively search for partners for its insurance fields in the near future“, an official source from Associação Mutualista told ECO. This means that it will not attempt to sell Montepio’s insurance business soon, which does not mean it will not receive proposals from possible buyers.
"Since the opportunity that was made public (CEFC) did not move forward, MGAM will not actively search for partners for its insurance fields in the near future. ”
Regarding the regulator’s decision about the Chinese group’s proposal to take 60% of the insurance branch capital, the entity headed by Tomás Correia refrained from making further statements, saying that “it is up to those in charge of subscribing capital to instruct the proceeding near the Portuguese insurance regulator (ASF); that is what CEFC did, and ASF’s ruling was clear”.
It was in the May 10th Board meeting that the regulator decided to fail the purchase of Montepio Seguros by CEFC China Energy for “considering that the prior notice from CEFC China Energy Company Limited and Shanghai Huaxin Group (Hong Kong) Limited was not well-informed enough to acquire a qualified share in Montepio Seguros”.