FBN Holdings, said it has sold its stake in its insurance business to South Africa’s largest insurer Sanlam Emerging Markets (Proprietary) Limited.
The financial conglomerate in a statement to shareholders and investing public on the Nigerian Stock Exchange yesterday announced the divestment from FBN Insurance.
Sanlam had bought out the remaining 65 per cent stake in FBN Insurance it did not already own from First Bank, deepening its presence in the West African country. The purchase now gives Sanlam control of the joint venture that began with First Bank in 2011.
FBN Holdings in a statement issued on the NSE yesterday and signed by its group managing director, U.K Eke and the chief executive of Sanlam, Heinie Werth said the board of the two companies “wish to announce the completion of the sale and transfer of FBNH‘s 65 per cent shareholding in FBN Insurance Limited to Sanlam.
“This effectively confers full ownership of FBN Insurance Limited and its subsidiary, FBN General Insurance Limited on Sanlam forthwith following receipt of all relevant regulatory approvals.
“Both organisations had activated the Shareholders Agreement which provided pre-emptive rights to Sanlam. Accordingly, and as had been indicated in the Share Purchase Agreement, the effective date of the divestment is June 01, 2020.”