Highlights:
- Pacific Prime strengthens its base in APAC (Asia Pacific) region by acquiring CXA Group’s Singapore and Hong Kong brokerage arms.
- The deal was closed on February 4, 2021.
- The acquisition is a step forward for Pacific Prime as it seeks expansion in the APAC region and globally.
Pacific Prime, a global insurance brokerage firm, strengthens its grip in the Asia Pacific region by taking over the Singapore and Hong Kong brokerage arms of CXA Group.
CXA is an insurtech firm that has taken an exit from the sector to pay close attention to its cloud-based enterprise SaaS (Software-as-a-Service) business.
The deal was closed on February 4, 2021.
The acquisition impact
Pacific Prime’s acquisition of CXA Group’s brokerage arm in Hong Kong and Singapore is a stepping stone for achieving expansion goals in the APAC region and globally. The purchase gives Pacific Prime the technology to offer control and streamlined flex solutions to its clients worldwide.
The acquisition will strengthen Pacific Prime’s employee benefits and compensation technology, allowing the global HR teams to streamline plan administration across different jurisdictions, use essential insights from data, and simplify total rewards management.
HSBC supports CXA’s insurtech business, the Singapore Economic Development Board’s investment arm EDBI, Singtel Innov8, and B Capital Group, the venture firm of Facebook co-founder Eduardo Saverin.
On the business front, Pacific Prime has put efforts to build all its own insurtech in-house. About 15% of its staff (600 in number) are involved in core IT. This insurtech has played a significant role in Pacific Prime’s growth over ten years.
The technology acquired as a part of the CXA deal is extremely complementary to Pacific Prime’s in-house technology. It will enable Pacific Prime’s employees to offer employee benefits flex solutions to big-sized multinationals and SMEs.
It will also allow Pacific Prime to offer employee benefits flex solutions, allowing HR teams worldwide to streamline total rewards management, simplify administration plans, and leverage valuable data insights.
The experts’ take
Neil Raymond, Founder and CEO of Pacific Prime, talks about the move and states, “CXA Group has the expertise that we can benefit from, particularly in using technology to transform the employee benefits landscape. I believe this makes us the third biggest employee benefits broker in Singapore and Hong Kong after the mergers of Aon-WTW and Mercer-JLT. This acquisition propels us towards our long-term objective of being the leading global employee benefits specialist.”
Rosaline Chow Koo, Founder and CEO of CXA Group, said: “We’re confident to leave our Hong Kong and Singapore brokerage arms with Pacific Prime, as we share the same commitment to being technology-driven.”
About Pacific Prime
Recognized as a global leader in the corporate insurance and employee benefits genre, Pacific Prime operates in 10 locations across the globe. The company displays an out-of-the-box approach to employee benefits, broking, and developing technology to support its clients.
About CXA Group
Headquartered in Singapore, CXA Group is identified as a one-stop, predictive, and data intelligence platform. The insurtech start-up is focused and incessantly promotes better health, wellness, and wealth choices.