NEW YORK--(BUSINESS WIRE)--The ACE Group of insurance and reinsurance companies (NYSE: ACE) provided the following statement pursuant to an announcement made by Jerneh Asia Berhad in Malaysia:

The ACE Group has received approval from Malaysia’s financial regulator, the Minister of Finance through Bank Negara Malaysia, to acquire Jerneh Insurance Berhad, a general insurance company that is majority owned by Jerneh Asia Berhad, an investment holding company listed on the Kuala Lumpur Stock Exchange. ACE and the sellers expect to execute a definitive agreement shortly.

The proposed acquisition price is approximately USD$200 million, subject to adjustment to reflect the book value of Jerneh Insurance Berhad at the transaction’s closing.

“This transaction provides a good strategic fit and complements our current presence in Malaysia,” said Evan G. Greenberg, Chairman and Chief Executive Officer, ACE Limited. “The addition of Jerneh Insurance Berhad will be accretive to ACE’s earnings and book value per share and will meet our return-on-capital hurdle rate.”

The transaction is expected to close during the fourth quarter of 2010, subject to seller shareholder approvals and other closing conditions. The company will provide greater detail once the definitive agreement has been executed.

Celebrating 25 years of insuring progress, the ACE Group is a global leader in insurance and reinsurance serving a diverse group of clients. Headed by ACE Limited (NYSE:ACE), a component of the S&P 500 stock index, the ACE Group conducts its business on a worldwide basis with operating subsidiaries in more than 50 countries. Additional information can be found at: www.acegroup.com.

Cautionary Statement Regarding Forward-Looking Statements:

All forward-looking statements made in this press release, related to the proposed acquisition of Jerneh Insurance Berhad or otherwise, reflect ACE’s current views with respect to future events, business transactions and business performance and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements involve risks and uncertainties, which may cause actual results to differ materially from those set forth in these statements. For example, ACE’s forward-looking statements related to Jerneh Insurance Berhad and the anticipated acquisition could prove incorrect if a definitive agreement were not signed, if the transaction were to not close, if Jerneh Insurance Berhad and its subsidiaries were to perform differently than currently expected by ACE or if anticipated expense-related efficiencies are not realized. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the dates on which they are made. The company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.