Softlogic Life Insurance PLC, formerly known as Asian Alliance Insurance, is an insurance company in

Sri Lanka Sri Lanka, officially the Democratic Socialist Republic of Sri Lanka, also known historically as Ceylon, is an island country in South Asia. It lies in the Indian Ocean, southwest of the Bay of Bengal, separated from the Indian subcontinent, ...

. The company was founded in 1999 as Asian Alliance Insurance, a joint venture between Asia Capital PLC and Richard Pieris & Company. Softlogic Holdings and its subsidiary Softlogic Capital PLC acquired a controlling stake in the Asian Alliance Insurance in 2011 for LKR3.3 billion. The company segregated its life and non-life insurance businesses and then divested its non-life insurance to Fairfax Financial. The company changed its name in 2016 to Softlogic Life Insurance. The company is a constituent of the S&P Sri Lanka 20 Index. Softlogic Life is one of the ''LMD'' 100 companies in Sri Lanka. The company is also ranked among the 100 most valuable brands in the country.

History

Asian Alliance Insurance was founded in 1999 as a joint venture between Asia Capital PLC and Richard Pieris & Company.

Softlogic Holdings Softlogic Holdings PLC is a diversified conglomerate in Sri Lanka engaged in ICT, healthcare, retail, financial services, automobiles and leisure. History Softlogic began as a software development company in 1991 by Ashok Pathirage and twelve ...

and its subsidiary Softlogic Capital PLC acquired a 73.5% of stake in Asian Alliance Insurance for LKR3.3 billion in 2011. Asia Capital PLC was the seller. When the announcement of Softlogic's acquisition came to light, Richard Pieris moved to incorporate a finance company and an insurance company. Richard Pieris also planned to move its insurance business out of Asian Alliance Insurance to the new venture. Richard Pieris accepted Softlogic Capital's mandatory offer and divested its 25% stake in Asian Alliance Insurance. Subsequently, Softlogic reduced its stake in the company by divesting 19% of the stake each to the development finance companies DEG and FMO for LKR1.8 billion in 2012. The industry regulator, the Insurance Board of Sri Lanka, stipulated that insurance companies should segregate their

life Life, also known as biota, refers to matter that has biological processes, such as Cell signaling, signaling and self-sustaining processes. It is defined descriptively by the capacity for homeostasis, Structure#Biological, organisation, met ...

and

non-life insurance General insurance or non-life insurance policy, including automobile and homeowners policies, provide payments depending on the loss from a particular financial event. General insurance is typically defined as any insurance that is not determine ...

businesses in 2015. Newly incorporated Asian Alliance General Insurance received the licence to operate in the non-life insurance sector. Softlogic sold Asian Alliance General Insurance to

Fairfax Financial Fairfax Financial Holdings Limited is a Canadian financial holding company based in Toronto, Ontario, engaged in property, casualty, insurance and reinsurance, investment management, and insurance claims management. The company operates primari ...

in 2016 for LKR1.1 billion. In the same year, the company was renamed Softlogic Life Insurance. Softlogic Life Insurance was featured in ''

Forbes Asia ''Forbes'' () is an American business magazine founded by B. C. Forbes in 1917. It has been owned by the Hong Kong–based investment group Integrated Whale Media Investments since 2014. Its chairman and editor-in-chief is Steve Forbes. The c ...

s Best Under a Billion list in 2019.

Operations

Softlogic Life Insurance was added to the

S&P Sri Lanka 20 Index The S&P SL20, or the Standard & Poor's Sri Lanka 20, is a stock market index, based on market capitalization, that follows the performance of 20 leading publicly traded companies listed in the Colombo Stock Exchange. The 20 companies th ...

when an ad hoc index rebalancing occurred due to Commercial Leasing and Finance merging with LOLC Finance in March 2022. Softlogic Life is one of the ''LMD'' 100 companies in Sri Lanka. The company was ranked 60th in the 2021/22 edition of the list. ''LMD'' 100 is an annual list of listed companies in Sri Lanka by revenue. Brand Finance estimated the brand value of Softlogic Life Insurance to be LKR2,382 million in 2022, placing the company in the 44th in the brand value rankings in the country. In 2022, the company recorded a market share of 17.1%, placing the company in second place among life insurance companies by

gross written premium In the insurance industry, gross premiums written is the sum of both direct premiums written (see next paragraph) and assumed premiums written, before deducting ceded reinsurance. Direct premiums written represents the premiums on all policies the ...

s. When the company's share price rose by 136%,

Colombo Stock Exchange The Colombo Stock Exchange (CSE) (; ) is the main stock exchange in Sri Lanka that utilizes an electronic trading platform. The CSE headquarters have been located at the World Trade Center (Colombo) Towers in Colombo since 1995, and it has regi ...

inquired the company twice about the unusual price movement. In a stock market disclosure, Softlogic Capital PLC stated that the company is considering a bid for Softlogic Life Insurance. The disclosure did not name the bidder. AIA Insurance Lanka Limited, the Sri Lankan subsidiary of

AIA Group AIA Group Limited, often known as AIA (), is a Hong Kong–based multinational insurance and finance corporation. It is the largest publicly traded life insurance group in the Asia-Pacific region. It offers insurance and financial services, ...

, had shown interest in the company. Source: Insurance Regulatory Commission of Sri Lanka, 2023 (p. 49)

References

External links

* {{All Share Price Index 1999 establishments in Sri Lanka Companies listed on the Colombo Stock Exchange Financial services companies established in 1999 Insurance companies of Sri Lanka Companies in the S&P Sri Lanka 20 Index

History

Operations

See also

References

External links