(Yicai Global) April 19 -- Fidelity & Guaranty Life (FGL) has decided to terminate the USD1.6 billion acquisition agreement with China's Anbang Insurance Group, saying it will consider other possible deals.
FGL is a leading insurer in the US and ranks among the three largest US annuity and pension business operators. The agreement was first reached in November 2015 and extended three times since then. However, Anbang Insurance failed to secure a public hearing by Iowa's financial regulator about a dispute by April 17 as the final deadline.
It marks another failed takeover attempt by Anbang in the US following its abortive plan last year to acquire US-based Starwood Hotels & Resorts Worldwide Inc. [NYSE:HOT], as well as the abandoned investment in an office tower owned by Kushner Cos., real estate family firm of Jared Kushner, son-in-law of and senior adviser to US President Donald Trump.
As a multinational insurance company, Anbang Insurance Group has successfully acquired VIVAT Insurance and South Korea's Tong Yang Life, but the recent setbacks in the US market are expected to have significant implications for its global business operations.