Allianz, Germans’ leading insurers, and asset managers have completed the acquisition of a 66 per cent stake in East Africa’s largest insurance group Jubilee Holdings for Ksh 10.8 billion (EUR 84 million, USD 100 million).
Following the acquisition, Jubilee General Insurance will now operate as “Jubilee Allianz General Insurance Limited” after the two companies complete corporate filings.
“Jubilee Holdings is a leading insurance business in East Africa spanning distribution reach and network across the country and an exciting talent,” said Coenraad Vrolijk, Regional CEO and Regional Executive Board Member of Allianz Africa Tuesday during a virtual media briefing.
“We are bringing our technology and digital skills to this partnership. It will allow us to plug and play our absolute best without reinventing the wheel,” he added.
“Alone and together with the recent acquisitions in leading African markets of Nigeria and Morocco, this transaction is a reflection of Allianz’s long-term commitment to Africa and fits with our ambition to gain leadership positions in key markets in the continent”, said Coenraad.
On his part, JHL Chairman Nizar Juma said Allianz is one of the largest general insurance in the world ‘makes a lot of sense to be together… it will help us to go next growth which will be exponential.”
“We have the wisdom of age and dynamism of younger,” said Nizar Juma.
The agreement to acquire a controlling stake in JHL was signed in October last year. Nandini Wilcke, Regional Head of Mergers, Acquisitions and Transformation and General Counsel of Allianz Africa disclosed that in the coming months they will focus on integrating JHL into Allianz’s key pillars of shape, care and delivery.
The integration will entail training of JHL staff on Allianz standards and processes, underwriting capabilities under joint branding and averaging Allianz business platforms to drive digital innovation and operational excellence. This will be completed end of 2021.
With the conclusion of the merger, Allianz now has controlling stakes in Kenya, Tanzania, and Uganda as well as the short-term insurance segment in Burundi and Mauritius businesses for a total consideration of Ksh 10.8 billion (EUR 84 million, USD 100 million) while JHL retains a significant minority stake.