Brokers' take

OCBC | Buy Target price: S$12.80 Sept 20 close: S$11.01 DBS Group Research, Sept 20

Great Eastern Holdings (GEH) is exploring to "sell" its Malaysian operations, based on a media report. It was reported in The Edge that GEH is said to have engaged at least one Malaysian bank to explore selling its stake in its Malaysian operations for as much as US$1 billion.

We gather from press reports that Bank Negara Malaysia is said to be considering to strictly enforce the 70 per cent foreign ownership cap on insurers, which was introduced in 2009. We understand the timeline could be fluid, and negotiations could be managed on a case-by-case basis.