Global insurer Ace has spent $185 million to buy nearly two-thirds of a Thai insurance company.

And Ace, which has a major office in Hamilton, is lining up a bid for the rest of the company later in the year.

Ace took a 60.9 percent share of Siam Commercial Samaggi Insurance as the south east Asia region continues to be a major focus for investment.

Evan Greenberg, Ace’s chairman and CEO, said the acquisition gave the firm a good opportunity to expand its operations in an increasingly important market.

He added: “We are confident that over the medium and long term this business will provide outstanding value to our customers and business partners and generate superior returns for our shareholders and we expect this transaction will be immediately accretive to our earnings.”

Ace, with its local partner, bought the share of the Thai firm, which generated around $138 million in gross premiums written in 2012, from Siam Commercial Bank.

Bangkok-based Siam Commercial Samaggi Insurance was founded in 1947 and is listed on the Thai Stock Exchange.

It is involved in insurance in the auto, small commercial and personal accident areas among others and its products are sold through Siam Commercial Bank and independent agents.

It is thought that the transaction will be closed in the second quarter of this year — leaving Ace and its Thai partner free to make a mandatory offer for the remainder of the company’s shares, in line with Thai regulations.

Swiss Re’s sigma World Insurance Report for 2012 said that Thailand generated more than $7.5 billion of non-life insurance premium in 2012, up from around $6.2 billion the previous year.

Ace has operated in Thailand for many years and the company already has a strong local reinsurance business, focused on industrial commercial property and casualty, accident and health and life business.