(CBN Global) March 28 -- Fosun International Ltd. [HKG:0656], one of China's biggest privately-held conglomerates, is slowing down its overseas acquisitions and has announced that it is considering launching an IPO of its wholly-owned subsidiary, US insurer Ironshore Inc. Fosun may even consider selling Ironshore, says a CBN analyst.
Fosun ended two overseas take-over bids in February this year,completing the sale of all its shares in Belgian commercial bank BHF Kleinwort Benson in February and withdrawing from a deal to buy a 52 percent stake in Israeli insurer Phoenix Holdings Ltd.
Fosun had previously been active in overseas acquisitions. From 2008 to June last year it had invested in 36 projects outside China in the insurance, finance, real estate and other businesses, with investments totaling USD9.8 billion.
The company has been embroiled in scandal since its founder, Mr. Guo Guangchang, was taken away for questioning by the authorities for several days in December last year. The Chinese government has been cracking down on corruption since 2013, and the disappearance of high profile individuals is usually seen as the initial stage of detention under a corruption investigation.
Mr. Guo was released in time to attend Fosun's annual conference on December 14. In March he also participated in two major annual gatherings of politicians in Beijing, the National People's Congress and Chinese People's Political Consultative Conference.