China Oceanwide Holdings Group said on Friday it had refiled its application for US approval of its 2.7-billion-dollar acquisition of life insurance company Genworth Financial Inc, in a bid to add more time to the regulatory review.

The two companies said they withdrew and relaunched their submission to the Committee on Foreign Investment in the United States (CFIUS), a secretive US government panel that scrutinizes foreign acquisitions on the grounds of national security concerns.

In a statement released by both companies, the middle of 2017 remains to be the target for the closing of the transaction.

Genworth's and China Oceanwide's refiled CFIUS application triggers a new 30-day review period by the government body, with the possibility of a further 45-day investigation period, the statement added.

China Oceanwide, a Beijing-based investment firm founded by low-profile but well-connected billionaire Lu Zhiqiang, agreed in October to pay 2.7 billion dollars in cash for all Genworth shares, plus a further 1.12 billion dollars to cover debt belonging to the US insurer which was spun out of General Electric in 2004.

The acquisition bid is a further example of Chinese investment into the US financial sector, stemming from a desire among Chinese firms to diversify away from their home market. But not all such deals have been successful.

Earlier this month, Fidelity & Guaranty Life, a US annuities and life insurer, said it had terminated its agreement to be acquired by China's Anbang Insurance Group. While it secured approval from CFIUS, the deal failed to garner approval from two US states.

(Source: Reuters)