Ping An and Fortis finalize global asset management partnership agreement

Ping An and Fortis finalize global asset management partnership agreement

Hong Kong, 2 April 2008 Ping An Insurance (Group) Company of China, Ltd. ( Ping An or the Group , HKEX: 2318; SSE: 601318) and Fortis officially signed today the final agreement that formalizes the establishment of a global asset management partnership between the two companies. The signing ceremony was witnessed by the Shenzhen Mayors, senior management from both parties, advisors and other dignitaries in Shenzhen.

Through this transaction, Ping An has agreed to acquire a 50% equity stake in Fortis Investments*, the global asset management arm of Fortis, for a consideration of EUR 2.15 billion (RMB 24.02 billion**), payable to Fortis in cash on completion of the transaction. As a result of this partnership, Ping An will significantly advance its strategy to establish a global asset management business and a Qualified Domestic Institutional Investor ( QDII ) platform, while Fortis will benefit from enhanced access to the fast growing economies of China and Asia, which will allow it to accelerate the development of its business in this key region.

Mr. Chen Yingchun, Deputy Mayor of Shenzhen said at the ceremony, the collaboration of the two strong players represents the integration of world class asset management expertise with diversified financial products. It is truly mutually beneficial.

Mr. Peter Ma Mingzhe, Chairman and CEO of Ping An said, The formation of Fortis Ping An Investments by Ping An and Fortis marks a new phase of close strategic partnership by the two institutions. The creation of Fortis Ping An Investments is a win-win collaboration for both sides, and it carries significant and strategic rationale and value to Ping An.

With this partnership, Ping An will immediately establish a global asset management business platform that covers various major financial markets in the world through competitive distribution networks from both institutions. With joint efforts from Ping An and Fortis, Fortis Ping An Investments will enter into a new era of solid growth, and firmly establish itself as a leading global asset management company.

Jean-Paul Votron, CEO of Fortis commented, Today is the start of a mutually beneficial partnership with tremendous prospects for the future. Fortis and Ping An share a common philosophy and strategic approach which includes global ambitions. The combination of these two strong brands with the same strategic aims represents a win win for both employees and clients - the ultimate beneficiaries.

We are delighted to be able to start building what will become one of the pre-eminent global asset managers, at a key moment in the history of our group - namely the integration of the activities acquired from ABN AMRO. The strength of our combined geographic presence and shared expertise represents the ideal platform from which to grow in both Europe and Asia.

The final agreement confirms the principal terms set out in the MoU, which was signed on 19 March. Fortis Investments will be re-branded Fortis Ping An Investments , and in Chinese. Fortis Ping An Investments board will comprise twelve directors; six non-executive, two executive and four independents.

Fortis and Ping An will each nominate three non-executive directors and propose two independents. The senior management of the Company will remain unchanged and will benefit from the Asian expertise of key Ping An executives. The current strategy of Fortis Investments is fully supported by both shareholders.

The completion of the transaction remains subject to receipt of applicable regulatory approvals.