omniture

CNinsure Expanding Its Business to Liaoning Province

2008-03-03 21:32 1159

GUANGZHOU, China, March 3 /Xinhua-PRNewswire-FirstCall/ -- CNinsure Inc. (Nasdaq: CISG), a leading independent insurance agency and brokerage company operating in China, today announced the acquisition of a 60% stake in Liaoning Gena Insurance Agency Co., Ltd (“Gena”), expanding its market presence to Liaoning Province in northeast China.

The transactions are expected to close in the first quarter of 2008 subject to certain consents, authorizations and other customary closing conditions. With the addition of Gena, CNinsure’s network now reaches 12 provinces among China’s 31 provinces.

Founded in 2005, Gena is now one of the leading insurance agencies engaged in life insurance business in Liaoning province. Its founder, a former senior manager of a leading Chinese insurance company, has 12 years’ experience in management and life insurance marketing. To date, Gena has established a distribution network across the province with 1062 sales professionals, 11 sales and service outlets and 8 branches.

Commenting on the acquisitions, CNinsure’s Chairman and Chief Executive Officer, Yinan Hu, said, “With footprint expanding into Liaoning Province, we believe CNinsure will be well positioned to consolidate the local life insurance sector through Gena. With its understanding of the local culture and experience in life insurance, and with additional capital and a strong operating platform now available from CNinsure, we believe that Gena will make significant contribution to the development of CNinsure’s life insurance business in northeast China in the long run.”

About CNinsure Inc.

CNinsure is a leading independent insurance agency and brokerage company operating in China. CNinsure’s distribution network reaches some of China’s most economically developed regions and affluent cities. The company distributes a wide variety of property and casualty and life insurance products underwritten by domestic and foreign insurance companies operating.”

Forward-looking Statements

This press release contains statements of a forward-looking nature. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. You can identify these forward-looking statements by terminology such as “will,” “expects,” “believes,” “anticipates,” “intends,” “estimates” and similar statements. Among other things, the management’s quotations contain forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties and are based on current expectations, assumptions, estimates and projections about CNinsure and the industry. Potential risks and uncertainties include, but are not limited to, those relating to CNinsure’s limited operating history, especially its limited experience in selling life insurance products, its ability to attract and retain productive agents, especially entrepreneurial agents, its ability to maintain existing and develop new business relationships with insurance companies, its ability to execute its growth strategy, its ability to adapt to the evolving regulatory environment in Chinese insurance industry, and its ability to compete effectively against its competitors. All information provided in this press release is as of March 3, 2008, and CNinsure undertakes no obligation to update any forward looking statements to reflect subsequent occurring events or circumstances, or to changes in its expectations, except as may be required by law. Although CNinsure believes that the expectations expressed in these forward looking statements are reasonable, it cannot assure you that its expectations will turn out to be correct, and investors are cautioned that actual results may differ materially from the anticipated results. Further information regarding risks and uncertainties faced by CNinsure is included in CNinsure’s filings with the U.S. Securities and Exchange Commission, including its registration statement on Form F-1.

Source: CNinsure Inc.
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