China's second-biggest e-commerce company, JD.com, will invest CNY537 million (US$85 million) in Allianz China General Insurance, taking a 33% stake and becoming its second largest shareholder, according to an announcement published by the Insurance Association of China.
Shenzhen Huijing Tongda Business Consulting and Zhongyuan Xinda Intellectual Property Agency also participated in the round.
Following the acquisition, the registered capital of previously wholly-owned Allianz will increase to CNY1.61 billion from the current CNY805 million. Allianz Insurance Group will retain 50% of the shares.
JD.com and Allianz have also reached a long-term cooperation deal and plan to build a digital insurance joint venture to meet the rapidly evolving needs of Chinese consumers.
The deal requires regulatory approval.