SoftBank Vision Fund, the world’s largest private equity fund, is considering a US$500 million investment in the Hong Kong initial public offering of ZhongAn Online Property and Casualty Insurance Co. Ltd., Caixin reported, citing an insider close to the deal.
The US$1.5 billion IPO, biggest by a financial technology company in Hong Kong, is expected to launch as early as September 18, the report said. Both SoftBank and ZhongAn did not comment on the deal.
ZhongAn, the first internet-only insurer in China, provides insurance services for vehicles, medical care and online shopping. According to the documents ZhongAn submitted to HKEx, the company has been in a profit position since the second year of its establishment in 2013, with a net profit of 37 million yuan (US$5.6 million).
ZhongAn was founded in November 2013 by Alibaba Executive Chairman Jack Ma, Tencent Chairman Pony Ma and Ping An Insurance Group Chairman Ma Mingzhe.
Its major shareholders include two of China’s largest internet companies — Alibaba Group’s Ant Financial and Tencent Holdings, Caixin said, citing ZhongAn’s IPO prospectus.