Conditions precedent to Sanlam’s acquisition of all of the shares in insurance company Assupol have now been fulfilled, with the transaction implemented on Monday this week.
In August, the Competition Tribunal approved the Sanlam Life Insurance’s bid to acquire Assupol Holdings for R6.5 billion, subject to an employment-related conditions.
The transaction will see Assupol become part of Sanlam’s retail mass cluster and together with Sanlam Sky, Safrican and the Capitec JV, which will close at the end of this month, it will place Sanlam in a strong position to service the financial services needs of South Africans.
In a brief statement yesterday, Sanlam said all other regulatory and shareholder approvals and conditions have now been fulfilled.
“The board of directors of Sanlam is pleased to inform shareholders that all scheme conditions precedent have been fulfilled, and the transaction was successfully implemented on the scheme implementation date of 07 October 2024,” said Sanlam.
It further said Assupol “represents a strong strategic fit within” the Sanlam Group as it will be integrated into the the company’s retail mass business in South Africa.
“The retail mass segment is a strategic priority for Sanlam, and we are committed to providing significant focus and support to ensure sustained growth in this market,” explained Sanlam.
This transaction also followed the announcement last year that Budvest Proprietary Limited, which holds 46.02% of Assupol’s securities, as well as the International Finance Corporation (IFC), holding 19.41% of Assupol, that it intended to dispose of their respective shareholdings. Both have been shareholders in Assupol for 10 years.
Budvest and IFC provided irrevocable undertakings to vote in favour of all the resolutions required to implement the Scheme of Arrangement.
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