The Fortis withdrawal from the Australian market is a major step in its strategy to move away from general insurance and diversify from the competitive European market into Asia.

It has already bought 30% of Malaysia’s largest bank, and has been on the lookout for several months for a major financial services acquisition to bolster its Hong Kong banking operation. Fortis is also looking for additional acquisitions in Thailand, Korea and Singapore.

The company was formed in 1990, bringing together the Dutch AMEV and Belgian AG insurance operations. Until recently it was operated on a “parity” basis, with equal representation of Dutch and Belgian executives on its board.