French insurer AXA SA (CS.FR) Tuesday said it plans to pump more investment into its emerging markets operations and specific businesses, such as protection and health, as it adapts its business model to promote earnings growth beyond the financial crisis.

The company said ahead of its investor day Tuesday it want to increase its focus on free cash-flow generation.

"This, together with an increased focus on improving the business efficiency of our operations, should allow us to gain flexibility and contribute to fund our investments for our future growth," Chief Executive Henri de Castries said in a statement.

The Paris-based insurer said it expects to present details of its Ambition AXA strategic plans in the first half of 2011.

Among the targets AXA has set for its businesses, it expects to increase the share of protection and health new business by five points by 2015, while it is targeting a combined ratio, which measures the percentage of premiums an insurer has to pay out in claims and expenses, at 100% in 2011 for its non-life business.

It also expects average targeted price increases for its non-life products of around 3% next year.

AXA has repeatedly said it is keen to expand in emerging markets in Asia in order to grow its business.

On Monday, the French insurer teamed up with Australian wealth manager AMP Ltd (AMP.AU) to launch a fresh $13.1 billion bid for AXA Asia Pacific Holdings Ltd. (AXA.AU) in a move that would allow AXA to exit the Australian market and focus on its plan to grow in Asia.

AXA will pay around EUR1.8 billion in cash under terms of the deal, which is expected to increase earnings-per-share in 2011.

AXA Asia Pacific said Tuesday that five of its six independent directors have decided to recommend the bid from AXA and AMP Ltd. in the absence of a superior offer and subject to an independent assessment. But one of the directors is seeking further information before deciding whether to back the proposal, the company said.

In a move to further its ambitions in the Chinese life assurance market, AXA last month formed an alliance with Industrial & Commercial Bank of China Ltd (1398.HK). The Chinese lender paid around CNY1.2 billion ($179.10 million) for a 60% stake in AXA-Minmetals Assurance Co., an insurance joint venture between AXA and China Minmetals Corp.

At 0832 GMT, AXA shares were down 1.2%, or EUR0.16, lower at EUR13.38, underperforming the CAC-40 index.

-By Elena Berton, Dow Jones Newswires; +33 1 40 17 17 65; elena.berton@dowjones.com
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