African insurer Sanlam and Germany’s Allianz have agreed to combine their current and future operations across Africa to create the largest Pan-African non-banking financial services entity on the continent.
The new firm will operate in 29 different African countries and is expected to have a combined total group equity value in excess of £1.7 billion.
The joint venture is set to house both firms’ African business units, in all countries on the continent apart from South Africa, and Namibia which is set to be included at a later date.
“Sanlam’s capabilities extend our local reach and market penetration, and the joint venture allows us to establish leading positions in key growth markets for Allianz,” said Allianz SE board member Christopher Townsend.
The chairmanship of the joint venture partnership will rotate every two years between Sanlam and Allianz. The CEO of the entity will be named in due course.
The agreement is subject to certain conditions precedent, including but not limited to the receipt of required approvals from competition authorities, financial/insurance regulatory authorities, and any customary conditions that Sanlam and/or Allianz would be required to fulfill for each jurisdiction.