Allianz Africa regional head of mergers and acquisitions and General Counsel Nandini Wilcke said no decision has yet been reached on how to treat the new company.
Allianz is still in the process of acquiring Jubilee’s general insurance subsidiaries in Tanzania and Mauritius.
Ms Wilcke said Allianz and Jubilee are fully committed to realising the benefits of their five-country partnership and no changes are currently envisioned.
German insurer Allianz will take time to review the fate of its newly acquired local subsidiary Jubilee Allianz under its pan-African partnership with South Africa’s Sanlam Limited.
Allianz Africa regional head of mergers and acquisitions and General Counsel Nandini Wilcke said no decision has yet been reached on how to treat the new company under the 10-year joint venture that will bring together the multinationals’ interests in their local subsidiaries Sanlam Kenya and Jubilee Allianz General Insurance Kenya.
Allianz is still in the process of acquiring Jubilee’s general insurance subsidiaries in Tanzania and Mauritius.
Ms Wilcke said Allianz and Jubilee are fully committed to realising the benefits of their five-country partnership and no changes are currently envisioned.
“At the moment Allianz is focused on completing the Allianz acquisition of the majority shareholdings in Tanzania and Mauritius as previously announced, as well as to continuing to strengthen the Jubilee Allianz businesses in Kenya, Uganda and Burundi,” she said.
“For now the focus is on business as usual. No decisions have yet been made about the Sanlam or Allianz business operations in Kenya.”
Under the ten-year deal between insurance giants Allianz SE and Sanlam Limited, the latter will own a 60 percent stake in the joint venture while Allianz will hold a 40 percent interest with an option to buy an additional nine percent ownership in the future.
Allianz will contribute its ownership in its African subsidiaries including majority stakes in Jubilee general insurance businesses in Kenya, Uganda, and Burundi which it recently acquired in cash transactions.
Sanlam will contribute its interests in Sanlam Kenya (57.1 percent) and other operations. The multinational’s operations in South Africa, India, the Middle East, and Malaysia will be excluded from the deal.
Sanlam Kenya is listed on the Nairobi Securities Exchange and has minority shareholders including billionaire investor Baloobhai Patel with a 20.7 percent stake.
Jubilee Holdings, also listed on the NSE, owns a 34 percent stake in Jubilee Allianz General Insurance Kenya. The 66 percent ownership in the general insurer held by Allianz will be contributed to the joint venture.
