According to a statement, AMP will acquire the stake in China Life Pension Company Limited, a subsidiary of China Life Insurance Company Limited and the largest pension company in China.
The company will acquire the stake for a "total consideration of AU$240 million" which makes it the "first foreign company in the world to purchase a stake in a Chinese pension company with three licences allowing end to end services throughout China", the statement said.
“This acquisition provides AMP with a strategic foothold in the rapidly growing enterprise annuity segment of China’s pension market and also extends our relationship with China Life, a leading global financial services brand,” said AMP chief executive Craig Meller.
AMP signed a memorandum of understanding with China Life in 2009, having entered the Chinese market in 1997.
