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Maybank is making a RM4.83 billion bet on itself.
The bank has agreed to buy out Belgian insurer Ageas SA’s remaining 30.95% stake in Maybank Ageas Holdings – ending a 25-year partnership and handing Maybank full control of Etiqa, its insurance and takaful arm, as it pushes toward regional expansion under its ROAR30 strategy.
The deal values Etiqa’s holding company at 1.98 times book value and 15.3 times earnings. Maybank calls it a down payment. The market barely flinched – shares held at RM10.90 at Monday’s noon break.
Etiqa Didn’t Start As A Wholly Malaysian Story
Maybank had held the majority 69.05% stake in Maybank Ageas, with Belgian insurer Ageas holding the rest through its subsidiary, Ageas Insurance International NV.
Together, the joint venture built Etiqa into the world’s fourth-largest takaful provider – offering life and general insurance, plus family and general takaful, across Malaysia and Singapore.
Now, after 25 years, Ageas is stepping back.
The Price of Full Control
The RM4.83 billion price tag isn’t the full picture.
It’s adjusted for an RM800 million dividend that Maybank Ageas will pay out on completion – RM248 million of which goes to Ageas, RM552 million to Maybank.
Maybank says it’ll fund the acquisition through a mix of internal funds and external financing.
The deal still needs sign-off from Bank Negara Malaysia, and Maybank has already submitted its application.
Why The Buyout Now?
Maybank group CEO Datuk Seri Khairussaleh Ramli framed the buyout as the next phase of the bank’s ROAR30 strategy – its roadmap for regional growth through 2030.
Full ownership means Maybank no longer has to split decisions, or profits, with an outside partner when it comes to Etiqa’s direction.
Four objectives sit behind the deal: cementing Etiqa as Malaysia’s national insurance and takaful champion, pushing regional expansion, lifting long-term earnings and shareholder returns, and tightening capital management to keep dividends flowing.
Acquisition For Bigger Returns
Maybank shares barely moved on the news, unchanged at RM10.90 by Monday’s noon break, holding a market capitalisation of RM131.84 billion.
But the message underneath the deal is bigger than a share price.
Maybank isn’t just buying out a partner. It’s betting that owning Etiqa outright is worth RM4.83 billion of its own money.
For a bank chasing regional ambitions, that’s not a cost. It’s a down payment.
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