Baker McKenzie has advised Liberty Mutual Insurance on the sale of its Thailand and Vietnam operations to American Swiss insurance company Chubb, signalling a growing M&A trend in the Southeast Asian insurance market.
Sumet Orsirivikorn, Baker McKenzie’s lead partner in Thailand for this deal, said the sale aligns with the growing trend of insurance companies merging to consolidate their positions and diversify their portfolios. “Over the past few years, the insurance sector has witnessed a surge in M&A activities … This transaction is a testament to this trend,” Orsirivikorn told Asia Business Law Journal.
The sale, which includes LMG Insurance, a non-life insurer in Thailand, and Liberty Insurance, a foreign retail motor insurer in Vietnam, was led by Baker McKenzie’s M&A partners Orsirivikorn and Lan Phuong Nguyen, supported by a team of insurance, tax and corporate specialists across both jurisdictions.
The firm’s Vietnam partner, Nguyen, highlighted the penetration of insurance products in the market, noting it remained relatively low compared to other markets in the region. “With the right strategies and the increasing income of Vietnamese consumers, foreign insurers are poised to reap significant rewards in the long run,” Nguyen told Asia Business Law Journal.
The deal is expected to close in Thailand by mid-2025, and in Vietnam by 2026, pending regulatory approvals, with its value remaining undisclosed.
