Allianz acquires 66% stake in Jubilee General Insurance, Kenya

By Chiamaka Ajeamo                                   

Allianz, one of the world’s leading underwriting firms, has acquired a 66 per cent stake in Jubilee General Insurance Limited located in Kenya, hence; becoming the majority shareholder in the company.

The 66 per cent stake represents 1,522,622 ordinary shares, from Jubilee Holdings Limited (JHL), East Africa’s largest insurance group who are retaining a 34 per cent shareholding in the company.

According to Allianz, this acquisition follows the execution of an agreement signed on September 29, 2020, whereby Allianz agreed to acquire the majority shareholding in the short-term general (property and casualty) insurance business operations of JHL in five countries in Africa, namely, Kenya, Uganda, Tanzania, Burundi and Mauritius.

Following this acquisition, Jubilee General Insurance Limited in Kenya is now a company of the Allianz Group and upon completion of corporate filings will operate as “Jubilee Allianz General Insurance Limited”, the company stated.

Speaking on this development, Allianz African Regional CEO, Coenraad Vrolijk, said this transaction is Allianz’s second direct investment in the country, after establishing Allianz Insurance Company of Kenya Limited 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. This transaction gives us a bigger platform to offer Allianz’s wide range of insurance products, from simple digital products to flexible corporate solutions.

“The two companies of Allianz in Kenya, Allianz Insurance Company of Kenya Limited and Jubilee Allianz Insurance Limited will continue to operate separately until their operations are consolidated into Jubilee Allianz General Insurance Limited, which is subject to regulatory approval.”

The Regional Head of Mergers & Acquisitions for Allianz Africa, Nandini Wilcke, added that all contracts issued by the two companies remain valid and “we will continue to honour our commitments and deliver the quality of service that Allianz is known for globally.”