This article first appeared in The Edge Malaysia Weekly on September 21, 2026 - September 27, 2026

AMMB Holdings Bhd (KL:AMBANK) and US-based MetLife International Holdings LLC are considering strategic options for their joint-venture insurance business, sources say. The parties are considering “all options”, including a possible sale of the business, a source tells The Edge.

AMMB and MetLife each hold a roughly 50% stake in AmMetLife Insurance Bhd and AmMetLife Takaful Bhd.

Sources say the review was prompted by the recent flurry of mergers and acquisitions (M&As) in Malaysia’s insurance sector.

AMMB declined to comment. A spokesperson from Metlife said that, as a matter of policy, it “does not comment on market rumours or speculation”.

Last month, Malayan Banking Bhd (KL:MAYBANK) moved to acquire the remaining 30.95% stake in Maybank Ageas Holdings Bhd, the holding company for Etiqa’s insurance and takaful businesses in Malaysia and Singapore, from Ageas Insurance International NV for RM4.83 billion. Maybank announced on Sept 11 that the acquisition had been completed, marking the bank’s full takeover of the insurance and takaful business.

Last month also saw MNRB Holdings Bhd (KL:MNRB) announce plans to sell its takaful businesses to development financial institution Bank Kerjasama Rakyat Malaysia Bhd, better known as Bank Rakyat, for RM1.64 billion in cash. The deal is subject to regulatory approval, with final sale agreements to be inked within a 12-month period.

About three years ago, AMMB and MetLife were set to exit their Malaysian insurance venture. In October 2023, the two shareholders agreed to sell AmMetLife Insurance and AmMetLife Takaful to Great Eastern Holdings Ltd’s Malaysian subsidiaries for about RM1.12 billion. The proposed transaction would have seen Great Eastern take full ownership of both businesses, while also entering into 20-year bancassurance and bancatakaful arrangements to distribute its products through AMMB’s banking units, AmBank and AmBank Islamic.

However, the deal, which was subject to regulatory approvals in Malaysia and Singapore, did not materialise. After more than a year without any development, AMMB, MetLife and Great Eastern mutually agreed in February 2025 to call off the acquisition. The parties did not publicly disclose a specific reason for the termination, although there was market speculation that regulatory issues had been a factor.

Since then, AMMB and MetLife appear to have shifted back to building their insurance business.

In March this year, they appointed an experienced industry veteran, Wan Saifulrizal Wan Ismail, as CEO of AmMetLife Insurance. He succeeded Rangam Bir, who left the company to pursue other opportunities.

Key changes have since been made. According to a source, the group has brought its conventional insurance and takaful operations onto one shared platform. The takaful business, AmMetLife Takaful, remains a separate entity for regulatory and shariah-compliance reasons, but both businesses now share the same resources and infrastructure. The companies have closed their agency channel.

The recent moves suggest that the shareholders do see value in the business, the source says.

Be that as it may, they come at a time when the insurance and takaful industry is facing growing challenges, including rising medical inflation, cost pressures, intensifying competition and changing customer needs.

AmMetLife Insurance’s profit after tax rose 5.9% year on year (y-o-y) to RM37.8 million in the financial year ended March 31, 2026 (FY2026). Gross written premiums (GWP) declined 3.6% y-o-y to RM774.8 million.

AmMetLife Takaful Bhd reported a narrower loss after tax of RM6.3 million in FY2026 from RM21 million the year before, helped by strong top-line growth as GWP rose 51.8% to RM288.9 million. “We remain focused on building scale and improving operating efficiency, with the objective of progressing towards profitability in the near term,” it says in AMMB’s 2026 annual report. The takaful firm is led by CEO Nazrulhisham Abdul Hamid.

Apart from its joint venture with MetLife, AMMB also holds a 30% stake in Liberty General Insurance Bhd through Liberty Global Holdings Sdn Bhd.

In FY2026, AMMB’s profit after tax from its insurance segment increased only slightly to RM105 million from RM101.3 million the year before. The segment accounted for 5% of the banking group’s total profit after tax of RM2.1 billion in FY2026.

In 1QFY2027, AMMB’s insurance profit after tax fell to RM8.6 million from RM32.4 million a year earlier, mainly due to lower investment income and net earned insurance premiums, partly offset by lower claims. 

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