Upon completion of the proposed sale, AmBank and Liberty Mutual will hold 30% and 70% equity stakes respectively in the merged entity.

The deal, expected to be completed next month, will see the prospective merged entity enter into an exclusive 20-year bancassurance partnership with AmBank to distribute general insurance products.

“This is a transformational moment for Liberty Mutual in Malaysia. This approval solidifies our path towards deal completion and integration with AmGeneral, and realising the possibilities of what we can accomplish together,” said Liberty Mutual in a statement today.

In explaining the significance of the opportunity, Azman Hashim, AMMB group chairman said that AmBank looks forward to working with Liberty Mutual and leveraging on complementary strengths.

“This is indeed a new chapter for us to look forward to. We have been working very closely with many insurance leaders over the past decade to grow the insurance business and will continue to do so,” he added.