By RazaK Musah Baba

LONDON--Insurer Aviva PLC (AV.LN), together with Hillhouse Capital and Tencent Holdings Ltd., have agreed to develop an insurance company in Hong Kong to focus on digital insurance.

Aviva said Friday that as part of the agreement, Hillhouse and Tencent will acquire shares in Aviva Life Insurance Company Ltd. (Aviva Hong Kong). Aviva and investment management firm Hillhouse will each hold a 40% stake and Tencent 20%.

At 0830 GMT, Aviva shares were up 2 pence, or 0.4%, at 478 pence, valuing the company at 19.41 billion pounds ($24 billion).

-Write to Razak Musah Baba at; Twitter: @Raztweet

(END) Dow Jones Newswires

January 20, 2017 04:37 ET (09:37 GMT)

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