Hong Kong-based financial services firm AMTD Group said today that it will acquire a controlling stake in insurance tech startup PolicyPal, the first company to graduate from the fintech regulatory sandbox of the Monetary Authority of Singapore (MAS) in 2017.
The acquisition, pending approval by MAS, is expected to be a stepping stone for AMTD Group’s expansion in Southeast Asia’s insurance tech sector. After the acquisition, PolicyPal will be folded under AMTD Digital.
Founded in 2016 by Val Yap, former assistant vice president at OCBC Bank in Singapore, PolicyPal has raised a total of USD 20 million from four fundraising rounds, according to data compiled by Crunchbase. The startup is supported by 500 Startups, PayPal, and angel investor Koh Boon Hwee.
The platform gives users personalized recommendations for insurance policies and simplifies the process of selecting coverage plans. PolicyPal said it works with 30 global insurance companies, with USD 3 billion in assured coverage.
AMTD has been making aggressive moves in the virtual banking space. In 2019, AMTD and Chinese phone-maker Xiaomi established Airstar Bank and was one of the first eight firms to acquire virtual banking licenses issued by the Hong Kong Monetary Authority. In Singapore, AMTD is teaming up with SP Group, Xiaomi, and Funding Societies to jointly apply for a digital wholesale bank license.