Allianz, one of the world’s leading insurers and asset managers has completed the acquisition of a 66% stake in Jubilee Holdings general insurance arm in Kenya for undisclosed amount making it the majority shareholder.
The purchased stake represents 1,522,622 ordinary shares acquired from Jubilee Holdings Limited which now retains a 34% shareholding in the company.
In a statement sent to the press, the German financial services provider expects to complete acquisition of Jubilee General Insurance businesses in Tanzania, Uganda, Burundi and Mauritius in due course.
The acquisition follows the execution of an agreement signed on September 29, 2020, whereby the German company agreed to acquire the majority shareholding in the short-term general (property and casualty) insurance business operations of JHL in in five countries in Africa, namely, Kenya, Uganda, Tanzania, Burundi and Mauritius.
Upon completion of corporate filings, the new business will operate as “Jubilee Allianz General Insurance Limited”.
The transaction is the second direct investment in the country by the German multinational, after establishing an Insurance Company in Kenya as a greenfield operation in 2014.
“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 Vrolijk, Allianz Africa Regional CEO.
Jubilee and Allianz will collaborate to expand and broaden insurance market across East Africa, leveraging Jubilee insurance’s deep regional knowledge, extensive networks and brand reputation with the global expertise and capacity of the Allianz Group.
“We are pleased to embark on the first step of our strategic partnership with Allianz, which will support Jubilee’s ambition to increase insurance awareness and accessibility across East Africa by providing innovative, affordable and technically advanced property and casualty insurance products to consumers across the region,” Nizar Juma, Jubilee Holdings Limited Chaiperson
The two companies will continue to work together to finalize the acquisitions for the businesses in Tanzania, Uganda, Burundi and Mauritius.