Sanlam and Allianz to merge businesses in Africa

Sanlam and Allianz, two African insurers, have agreed to merge their existing and future operations in a joint venture that will house both firms’ business units in African nations where one or both businesses have a presence.

Namibia will be added later, and South Africa would be left out of the pact.

Sanlam and Allianz said in a joint statement on Wednesday that their merged activities will create a top Pan-African non-banking financial services business with operations in 29 countries throughout the continent (4 May). According to them, the entity will have a combined total group equity worth of more than R33 billion.

In high-growth African markets, the alliance intends to boost life and general insurance penetration, accelerate product innovation, and enhance financial inclusion.

“In line with Sanlam’s stated ambition to be a leading Pan-African financial services group, the proposed joint venture will enable us to take a significant step towards realising that ambition. It will also strengthen our leadership position in multiple key markets that are core to our Africa strategy, building quality and scale where it matters,” said Sanlam Group CEO Paul Hanratty.