Axa, the French insurer, will exit its ipac Asia financial planning businesses in Hong Kong and Singapore in the first half of this year, reportedly in a bid to focus on its flagship insurance business.

The two remaining ipac businesses in Australia and Taiwan will remain open, according to a release published by the firm this week.

ipac Australia, which was acquired by Australian asset manager AMP last year for A$14 billion ($14.4 billion), will continue to operate, as will the Taiwanese operation, according to the release. 

Axa was thought to be in the final stages of agreeing a deal to sell the Hong Kong and Singapore operations to an undisclosed Australian company at the end of last year, said recent media reports. 

However in a statement issued by its Singapore office, Axa said it had “concluded that the divestiture of these fee-based financial planning businesses would be consistent with its ambition to focus on continuing the strong growth of its insurance businesses in Asia”.

It added: “Having reviewed several options, Axa has decided that it will close the ipac Asia businesses in the first half of 2012. All clients will be contacted shortly to discuss their portfolios and options open to them as a result of this action.”

Axa said the closure of the two ipac Asia offices would have no material impact on Axa Asia's revenues or profits.

It is not known how many employees will be affected by the closures. icap did not immediately return calls for comment.