Huize’s International Arm Poni Insurtech Completes Acquisition of Controlling Stake in Global Care, a Leading Insurtech Platform in Vietnam
Huize Holding (NASDAQ: HUIZ) has announced the completion of its international arm Poni Insurtech's acquisition of a 71.7% stake in Global Care, a leading Vietnam-based insurtech company. The acquisition, completed through existing share purchases and new share subscriptions, marks Huize's expansion into its second international market. As part of the deal, VinaCapital Ventures received newly issued class A common shares of Huize, representing about 1.7% of the Company's fully diluted share capital. Global Care is now a majority-owned subsidiary of Huize, with its financial results to be consolidated into Huize's financial statements. This strategic move is expected to accelerate market growth in Vietnam through innovative product development, distribution partnerships, and AI capabilities deployment.
Huize Holding (NASDAQ: HUIZ) ha annunciato il completamento dell'acquisizione da parte della sua divisione internazionale Poni Insurtech di una partecipazione del 71,7% in Global Care, una delle principali compagnie insurtech con sede in Vietnam. L'acquisizione, completata tramite acquisti di azioni esistenti e nuove sottoscrizioni, segna l'espansione di Huize nel suo secondo mercato internazionale. Come parte dell'accordo, VinaCapital Ventures ha ricevuto azioni ordinarie di classe A recentemente emesse da Huize, rappresentando circa l'1,7% del capitale sociale pienamente diluito della Società. Global Care è ora una controllata di maggioranza di Huize, i cui risultati finanziari saranno consolidati nei bilanci finanziari di Huize. Questa mossa strategica dovrebbe accelerare la crescita del mercato in Vietnam attraverso lo sviluppo di prodotti innovativi, partnership di distribuzione e l'implementazione delle capacità di intelligenza artificiale.
Huize Holding (NASDAQ: HUIZ) ha anunciado la finalización de la adquisición del 71,7% de participación en Global Care, una destacada compañía insurtech con sede en Vietnam, por parte de su brazo internacional Poni Insurtech. La adquisición, concluida a través de compras de acciones existentes y nuevas suscripciones, marca la expansión de Huize hacia su segundo mercado internacional. Como parte del trato, VinaCapital Ventures recibió acciones ordinarias de clase A recientemente emitidas por Huize, representando aproximadamente el 1,7% del capital social totalmente diluido de la Compañía. Global Care es ahora una subsidiaria con mayoría de Huize, cuyos resultados financieros se consolidarán en los estados financieros de Huize. Se espera que este movimiento estratégico acelere el crecimiento del mercado en Vietnam a través del desarrollo de productos innovadores, asociaciones de distribución y la implementación de capacidades de inteligencia artificial.
Huize 홀딩스 (NASDAQ: HUIZ)는 국제 자회사인 Poni Insurtech가 베트남의 선도적인 인슈어테크 회사인 Global Care의 71.7% 지분을 인수 완료했다고 발표했습니다. 기존 주식 구매 및 신규 주식 구독을 통해 완료된 이번 인수는 Huize의 두 번째 국제 시장으로의 확장을 의미합니다. 거래의 일환으로 VinaCapital Ventures는 Huize의 신규 발행된 클래스 A 보통주를 받았으며, 이는 회사의 완전 희석 주식 자본의 약 1.7%에 해당합니다. 이제 Global Care는 Huize의 대주주 자회사로, 그 재무 결과는 Huize의 재무제표에 통합될 것입니다. 이 전략적 결정은 혁신적인 제품 개발, 배급 파트너십 및 AI 기술 배치를 통해 베트남 시장 성장을 가속화할 것으로 기대됩니다.
Huize Holding (NASDAQ: HUIZ) a annoncé l'achèvement de l'acquisition par sa filiale internationale Poni Insurtech d'une participation de 71,7% dans Global Care, une entreprise insurtech leader basée au Vietnam. Cette acquisition, réalisée par le biais d'achats d'actions existantes et de nouvelles souscriptions d'actions, marque l'expansion de Huize dans son deuxième marché international. Dans le cadre de l'accord, VinaCapital Ventures a reçu des actions ordinaires de classe A récemment émises par Huize, représentant environ 1,7% du capital social entièrement dilué de la Société. Global Care est désormais une filiale à majorité contrôlée par Huize, dont les résultats financiers seront consolidés dans les états financiers de Huize. Ce mouvement stratégique doit permettre d'accélérer la croissance du marché au Vietnam par le développement de produits innovants, des partenariats de distribution et le déploiement de capacités d'intelligence artificielle.
Huize Holding (NASDAQ: HUIZ) hat den Abschluss der Übernahme einer 71,7%-Beteiligung an Global Care, einem führenden insurtech Unternehmen mit Sitz in Vietnam, durch seine internationale Abteilung Poni Insurtech bekannt gegeben. Die Übernahme, die durch den Kauf bestehender Aktien und neue Aktienzeichnungsrechte abgeschlossen wurde, markiert Huizes Expansion in ihren zweiten internationalen Markt. Im Rahmen des Deals erhielt VinaCapital Ventures neu ausgegebene Stammaktien der Klasse A von Huize, die etwa 1,7% des vollständig verwässerten Aktienkapitals des Unternehmens repräsentieren. Global Care ist nun eine Mehrheitsbeteiligung von Huize, deren Finanzresultate in die Finanzberichte von Huize konsolidiert werden. Diese strategische Entscheidung wird voraussichtlich das Marktwachstum in Vietnam durch innovative Produktentwicklung, Vertriebs Partnerschaften und den Einsatz von KI-Fähigkeiten beschleunigen.
- Acquisition of 71.7% stake in Global Care, a leading Vietnam-based insurtech company
- Expansion into second international market, driving revenue growth
- Strategic partnership with VinaCapital Ventures, gaining local resources and insights
- Consolidation of Global Care's financial results into Huize's statements
- Potential for accelerated market growth in Vietnam through innovative product development and AI capabilities
- Dilution of existing shareholders due to issuance of new shares to VinaCapital Ventures
- Potential integration challenges and costs associated with the acquisition
Insights
The acquisition of a 71.7% stake in Global Care by Huize's international arm, Poni Insurtech, is a significant move that expands Huize's international footprint. This strategic acquisition into Vietnam, a high-growth ASEAN market, demonstrates Huize's commitment to its internationalization strategy. The deal structure, involving share purchases and new share subscriptions, indicates a well-planned approach to maintain flexibility and align interests.
The involvement of VinaCapital Ventures, receiving 1.7% of Huize's fully diluted share capital, adds local expertise and potential for further synergies. The 50% lock-up period for half of these shares shows confidence in the long-term value creation. Financially, the consolidation of Global Care's results into Huize's statements will likely boost revenues and potentially profitability, depending on Global Care's financial health and growth trajectory.
While specific financial terms aren't disclosed, the strategic benefits and potential for revenue growth in a new market make this an important development for Huize's expansion plans and long-term value creation.
Huize's acquisition of Global Care significantly enhances its technological capabilities in the Vietnamese insurtech market. Global Care's expertise in digital transformation solutions for the insurance industry complements Huize's existing AI-powered and data-driven platform. This synergy is likely to accelerate product development and improve distribution efficiency in Vietnam.
The integration of Global Care into Poni Insurtech's ecosystem presents opportunities for technological cross-pollination. Huize can leverage its advanced AI capabilities and data analytics to enhance Global Care's offerings, while potentially adopting some of Global Care's localized solutions for other markets.
The focus on platform technological advancements and AI capabilities deployment mentioned in the announcement suggests a strong emphasis on tech-driven growth. This could lead to more innovative, personalized insurance products and improved customer experiences, potentially giving Huize a competitive edge in the rapidly evolving Vietnamese digital insurance landscape.
Huize's acquisition of Global Care marks a strategic entry into Vietnam's burgeoning insurtech market. Vietnam, with its young, tech-savvy population and growing middle class, presents significant growth potential for digital insurance solutions. This move positions Huize to capitalize on the increasing demand for innovative insurance products in a market that's still in its early stages of digital transformation.
The partnership with VinaCapital Ventures adds important local market insights and connections, which are vital for navigating Vietnam's business landscape. This local expertise, combined with Huize's technological prowess, could accelerate market penetration and help tailor products to local needs more effectively.
However, challenges lie ahead in terms of market education and regulatory compliance in a new jurisdiction. Huize will need to adapt its strategies to local consumer behaviors and preferences while navigating Vietnam's evolving regulatory environment for digital financial services. The success of this venture will largely depend on how well Huize can localize its offerings and build trust in the Vietnamese market.
Strategic acquisition drives revenue growth and expansion into second international market, creating robust synergies under Poni Insurtech and advancing Huize’s international expansion
SHENZHEN, China, Sept. 05, 2024 (GLOBE NEWSWIRE) -- Huize Holding Limited, (“Huize” or the “Company”) (NASDAQ: HUIZ), a leading insurance technology platform connecting consumers, insurance carriers and distribution partners digitally through data-driven and AI-powered solutions in Asia, today announced the completion of its international arm Poni Insurtech’s acquisition of
Upon the closing of the transaction, Global Care has become a majority-owned subsidiary of Huize, and its financial results will be consolidated into the Company’s consolidated financial statements.
“Global Care is a strategic and pivotal partner in our internationalization journey,” commented Ron Tam, Co-Chief Financial Officer and Head of International Business of Huize. “The completion of this acquisition reaffirms our commitment and execution of our internationalization strategy, starting with high growth markets in ASEAN. We have already begun to work closely with Global Care to accelerate market growth in Vietnam through innovative customized insurance product development and distribution partnership models, platform technological advancements, and deployment of AI capabilities. We are confident that the integration of Global Care, combined with the strategic insights and local resources of VinaCapital Ventures, will firmly position Poni Insurtech as a leading insurtech player in Vietnam’s digital insurance ecosystem. We expect this integration to create tangible value for all stakeholders including our end customers, insurance carriers and distribution partners.”
Dinh Thi Ngoc Niem, Founder and Chief Executive Officer of Global Care, added, “We are thrilled to welcome Huize as the new strategic shareholder in Global Care, marking the beginning of our next phase of growth. By joining the Poni Insurtech ecosystem, we gain unparalleled access to advanced technologies and industry expertise that will be instrumental in driving our long-term success. Together, we are well-positioned to enhance our offerings and expand our presence in Vietnam’s rapidly evolving insurance landscape. We look forward to this new chapter as we continue our mission to revolutionize the insurance experience for our partners and customers.”
About Global Care
Established in 2017, Global Care is a leading insurtech company in Vietnam empowering insurers to streamline and digitize their sales processes, policy administration, and operations. Global Care’s suite of cloud-based API solutions and mobile apps offer a broad range of embedded and customized insurance products to a diverse customer base by connecting insurers with merchants and various distribution channels, including leading e-commerce platforms such as Grab and Ahamove. In 2023, Global Care facilitated 13.5 million policies on its platform with revenue more than quadrupling year-over-year and registered users growing in excess of 1.3 million.
About Huize Holding Limited
Huize Holding Limited is a leading insurance technology platform connecting consumers, insurance carriers and distribution partners digitally through data-driven and AI-powered solutions in Asia. Targeting mass affluent consumers, Huize is dedicated to serving consumers for their life-long insurance needs. Its online-to-offline integrated insurance ecosystem covers the entire insurance life cycle and offers consumers a wide spectrum of insurance products, one-stop services, and a streamlined transaction experience across all scenarios. By leveraging AI, data analytics, and digital capabilities, Huize empowers the insurance service chain with proprietary technology-enabled solutions for insurance consultation, user engagement, marketing, risk management, and claims service.
For more information, please visit http://ir.huize.com or follow us on social media via LinkedIn (https://www.linkedin.com/company/huize-holding-limited), Twitter (https://twitter.com/huizeholding) and Webull (https://www.webull.com/quote/nasdaq-huiz).
Safe Harbor Statement
This announcement contains forward-looking statements. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. Statements that are not historical facts, including statements about Huize’s beliefs and expectations, are forward-looking statements. These forward-looking statements can be identified by terminology such as “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates,” “confident” and similar statements. Among other things, business outlook and quotations from management in this announcement, contain forward-looking statements. Huize may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission (the “SEC”), in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: Huize’s goal and strategies; Huize’s expansion plans; Huize’s future business development, financial condition and results of operations; Huize’s expectation regarding the demand for, and market acceptance of, its online insurance products; Huize’s expectations regarding its relationship with insurer partners and insurance clients and other parties it collaborates with; general economic and business conditions; and assumptions underlying or related to any of the foregoing.
For investor and media inquiries, please contact:
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investor@huize.com
Media Relations
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Christensen
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In U.S.
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FAQ
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