After receiving regulatory approvals, Sanlam, South Africa’s biggest insurer has sealed a $1.1 billion deal to acquire the remaining 53.37 percent stake in Moroccan insurance firm SAHAM Finances. The company is currently Sanlam’s biggest acquisition, and will expand its presence across North Africa, Middle East, East Africa and West Africa.
Sanlam’s acquisition of the remaining shares of SAHAM Finances brings its total investment in the company to almost $1.7 billion.
CEO of Sanlam’s emerging markets, Junior Ngulube noted that “the African presence of the combined group is unparalleled in the industry. With expertise across life, general and specialist insurance and investment management in Africa, we now have significant opportunities for cross selling and diversification”.
In 2016, Sanlam Emerging Markets Ireland Limited, a unit of Sanlam in a joint venture with South African insurer Sanlam Limited, acquired a 30 percent stake in SAHAM Finances. The joint venture unit then increased its take to 46.6 percent in 2017.
SAHAM Finances, a subsidiary of SAHAM Group, which also owns health, food and distribution interests was established in 1995. The company had consolidated net assets worth $850 million and earnings of $77.4 million for the year by the end of 2017.