KUALA LUMPUR (Oct 28): Allianz Malaysia Bhd has obtained Bank Negara Malaysia's (BNM) greenlight to commence negotiation with vendors in relation to acquisition of the entire equity stake in HSBC Amanah Takaful (Malaysia) Bhd.

In a bourse filing today, the insurance services provider said BNM has, vide its letter dated Wednesday (Oct 26), stated it has no objection in principle to the company commencing negotiations with regards to the acquisition.

"Pursuant to the Islamic Financial Services Act 2013, parties concerned are required to obtain the prior written approval from BNM or the Minister of Finance on the recommendation of BNM, as the case may be, before entering into any agreement to effect the proposed acquisition," it said.

Allianz will have to negotiate with HSBC Insurance (Asia Pacific) Holdings Ltd, JAB Capital Bhd and the Employees Provident Fund (EPF), on the proposed acquisition, subject to all parties concluding negotiations within six months from the date of the BNM letter.

Shares in Allianz closed unchanged at RM10.18 today, for a market value of RM1.75 billion.