Allianz SE is set to acquire Sanlam Kenya, marking a significant expansion of its operations on the continent.
The acquisition, which follows months of negotiations and rigorous regulatory approvals aims at enhancing Allianz’s presence in the rapidly growing African market.
With the purchase, Allianz gains direct access to Sanlam Kenya’s substantial customer base and established market presence, effectively integrating Sanlam’s regional expertise and assets into its portfolio.
Sanlam, which is publicly traded on the Nairobi Securities Exchange (NSE), has been experiencing financial downturn largely attributed to increasing finance costs and diminishing investment returns.
In 2023, the company’s net losses grew by 53% to Ksh127 million (992,187), a significant rise from Ksh83 million (648,437) in 2022. The fourth consecutive year of losses.
The last time Sanlam Kenya paid dividends was in 2013, distributing Ksh4.5 (0.03) per share, which totaled Ksh 432 million (3.37 million) when net earnings were Ksh1.25 billion ($9.76 million).
