FAI to sign Indonesian deal

FAI to sign Indonesian deal

SYDNEY (Reuters): FAI Insurances Ltd. will enter into a joint venture with an insurance company in Indonesia once it gets approval from the Indonesian government, FAI chief executive Rodney Adler said yesterday.

"The talks in Indonesia are basically finalized," Adler said by telephone.

"Now we are just awaiting approval from the Indonesian government, but the deal will be consummated," he said, declining to disclose the sum of the deal until it is approved.

He said approval from Jakarta would likely take two months.

Asked about previously reported talks with an unnamed Malaysian company, Adler said: "For various due diligence reasons, we've terminated Malaysian discussions."

He said the decision to end negotiations with the Malaysian company was unrelated to the financial turmoil sweeping Asia.

"We believe the currency crisis in Asia makes opportunities there better, not worse," Adler said.