The Boards of Directors of FBN Holdings Plc and Sanlam Emerging Markets (Proprietary) Limited (Sanlam) have announced the completion of the sale and transfer of FBNH’s 65 percent shareholding in FBN Insurance Limited to Sanlam.
The effective date of the divestment is June 01, 2020.
This effectively confers full ownership of FBN Insurance Limited and its subsidiary, FBN General Insurance Limited on Sanlam following receipt of all relevant regulatory approvals.
Both organizations had activated the Shareholders Agreement which provided pre-emptive rights to Sanlam.
Sanlam is a South African financial services group headquartered in Bellville, Western Cape. It is listed on the Johannesburg Stock Exchange, the Namibian Stock Exchange and the A2X. Established in 1918 as a life insurance company, Sanlam Group has developed into a diversified financial services business.
FBN Insurance was one of the fastest growing subsidiaries of FBN Holdings and doing its bit to help turnaround the Tier one lender.
It is unclear why the Group decided to unbundle the unit, but MoneyCentral would be doing an analysis in coming days on the impact this would have on group earnings.