IRVINE, Calif., March 23, 2000 (PRIMEZONE) -- Sun Life Financial Services of Canada Inc. (www.sunlife.com ) announced today that the underwriters of its Initial Public Offering (IPO) have agreed to purchase 143,602,914 shares at Cdn$12.50 per share (US$8.50), resulting in a total offering of Cdn$1.8 billion/US$1.2 billion with market capitalization of Cdn$5.0 billion/US$3.4 billion. Sun Life of Canada commenced business in 1871 and has grown to become a diversified global financial services organization with total assets under management of Cdn$301 billion at December 31, 1999. Sun Life of Canada and its subsidiary companies provide a wide range of savings, retirement, pension and life and health insurance products and services to individuals and corporate customers in select world markets. The global bookrunner for the offering is Morgan Stanley & Co. Incorporated and the global co-ordinators for the offering are Morgan Stanley & Co. Incorporated and RBC Dominion Securities Inc.
Xpedian, Inc. (OTCBB:XPDN) announced Wednesday that the process has been initiated to be listed on the Hamburg Stock Exchange. The Hamburg Stock Exchange is not only the most traditional one in Germany, but also the most modern. It has a modern electronic trading system which enables Hamburg's leading brokers to guarantee orders at the moment when prices are established.
Xpedian is the first company in the B2B Internet or the Insurance industry to deliver Web-based financial planning services. The company expects that this e-commerce network will enable established Insurance and Brokerage Firms, Certified Public Accountants, Financial Planners, Attorneys, and other financial intermediaries to provide value-added, online financial and estate planning products and services to their clients. For additional information on XPDN visit www.ibchannel.com.
Other Top Insurance Summaries
1. AMIG Announces Key Executive Appointments
American Modern Insurance Group (AMIG), a wholly owned specialty insurance subsidiary of The Midland Company (Nasdaq:MLAN), recently announced several key executive appointments aimed at the identification, development and delivery of Web-enabled technology in the specialty insurance marketplace, according to John W. Hayden, AMIG chairman, president and chief executive officer.
The appointments involved Senior Vice President of AMIG's subsidiary American Modern Home Rick Wagner, who was named Director of the Next Generation (NextGen) Initiative; John Campbell, who joined AMIG as its new Vice President and Chief Information Officer; and American Modern Home Senior Vice President David Brick, who assumed responsibility for the Agency channel of distribution.
2. Ceres Group Subsidiaries Offer Medical Coverage to Central Benefits Employer.
Ceres Group, Inc. (Nasdaq:CERG) announced that its insurance subsidiaries have offered medical insurance coverage on a case-by-case basis to more than 350 employer groups of Central Benefits Mutual Insurance Company. Ceres Group estimates that acceptance of the coverage offers will result in $15-20 million in new annualized premium revenue.
In December, Columbus-based Central Benefits announced that it was withdrawing from the group health business.
3. TenFold Announces 'Big 5' Alliance With Deloitte Consulting;
TenFold Corporation (Nasdaq:TENF), a leading provider of large-scale e-business applications, today announced an alliance with Deloitte Consulting, one of the world's leading management consultancies, to deliver new e-Business applications to the property and casualty insurance industry. The two companies will jointly market and implement InsuranceXpress(TM), TenFold's suite of insurance applications for Web-based policy administration, claims processing, and billing.
"We recognize the challenges insurers face as they transition their business to compete in the Internet economy," said Mike LaPorta, Deloitte Consulting principal, responsible for the firm's technology services to insurance companies. "We believe we can add value to our clients' businesses by seeking out leading solutions vendors and developing proficiency with their products. We believe TenFold's technology and methodology make their insurance solutions leading-edge in the property and casualty arena. TenFold has already established an impressive footprint within the industry and we are excited to work together to deliver innovative products and services to leading property and casualty insurers."
4. Cascade Engineering Joins First-Of-Its-Kind Partnership
In a first of its kind partnership, Grand Rapids-based Cascade Engineering has partnered with the Michigan Department of Community Health, MIChild and Staffing Incorporated to provide health insurance for the otherwise uninsured children of employees during the 90-day probationary period of employment.
Under the new arrangement, children of employees who join Cascade Engineering through Staffing Incorporated -- the designated employment agent for Cascade Engineering -- will be eligible for MIChild health benefits until the employee's normal health benefits begin.
5. Old Republic Settles Dispute with California Regulators
Old Republic Title Co. will pay $513,499 to settle a dispute with the California Insurance Department, the department said.
About $334,000 will be devoted to consumer education, with the rest going to reimburse the department for the costs of the investigation.
6. John Hancock Enhances Variable Estate Protection Policy
Building on the success of its current variable universal estate protection product, John Hancock Variable Life Insurance Company, a wholly owned subsidiary of John Hancock Financial Services, Inc. (NYSE:JHF), introduced Variable Estate Protection II (VEP II). VEP II is a new, enhanced second-to-die policy for individuals and businesses.
VEP II offers the same basic structure, competitive performance and features as Variable Estate Protection, one of the nation's leading survivorship products, plus new features and improvements. The enhancements are designed to provide the potential for excellent performance and attractive benefits for estate planning and wealth accumulation.
7. Battle Brews in U.K. Over Life Insurance Surpluses
A confrontation is looming in the United Kingdom over the disbursement of surpluses generated by with-profits life insurance policies. Lord Joffe, a member of the House of Lords, Britain's upper house of Parliament, has submitted an amendment to the Financial Services and Markets Bill that would require the Financial Services Authority to "make rules in relation to accountability to with-profits policyholders relating to the allocation of surpluses."
8. India Central Bank Eases Standards for Banks to Enter Insurance
India's central bank, the Reserve Bank of India, has relaxed entry norms for banks in insurance business, making it easier for foreign companies to find partners for their operations in the country.
The Reserve Bank had previously suggested that entry would be restricted only to banks with 1% less nonperforming assets, or bad debts, than the industry average. This would have blocked the entry of all but two small Indian banks. The Reserve Bank has now said that banks with a "reasonable level" of bad debts would be allowed."
9. The PMA Insurance Group Writes Its
The PMA Insurance Group, a regional insurance organization specializing in workers' compensation and group disability insurance, has written its 100th integrated disability management account, making PMA a national leader in one of the foremost employee benefits trends: integrated disability management.
The Integrated Benefits Institute, the national research concern on integrated benefits, published in its February 2000 report on marketplace trends that The PMA Insurance Group has the largest number of integrated workers' compensation/integrated disability accounts in the United States.
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