HONG KONG--(BUSINESS WIRE)--AM Best has placed under review with developing implications the Financial Strength Rating of A (Excellent) and the Long-Term Issuer Credit Rating of “a” (Excellent) of Blue Cross (Asia-Pacific) Insurance Limited (Blue Cross) (Hong Kong). Blue Cross is a wholly owned subsidiary of The Bank of East Asia, Limited (BEA) in Hong Kong.
This Credit Rating (rating) action follows the announcement on March 4, 2022, that BEA has entered into an agreement to sell 100 percent of its shares in Blue Cross to AIA Holdings (Hong Kong) Limited, which is a wholly-owned subsidiary of AIA Group Limited (AIA).
The developing implications status reflects the need for AM Best to fully assess the level of implicit and explicit support Blue Cross will receive from AIA, as well as its strategic role in AIA's overall group strategy. The ratings are expected to remain under review until the transaction closes and AM Best completes its evaluation of the impact of the acquisition on Blue Cross’ rating fundamentals. The under review status may be updated in the interim period as new facts and circumstances emerge.
Ratings are communicated to rated entities prior to publication. Unless stated otherwise, the ratings were not amended subsequent to that communication.
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