Moroccan conglomerate, Holmarcom Group through its holding company “Holmarcom Insurance Activities” has acquired a majority stake in Monarch insurance.
The two firms said the deal was subject to the requisite regulatory approvals including approvals by Kenya’s Insurance Industry regulator, the Insurance Regulatory Authority and the Competition Authority of Kenya. The deal is expected to see Holmarcom Insurance Activities become the majority shareholder of the company with a stake of 51%, along with Kamu Group and Maisha Bank.
Speaking on the acquisition, Kamu Group’s Chairman and CEO Mr. Jared Kangwana said: “The Holmarcom group has an unmatched depth and breadth of experience in the Moroccan insurance market which is the second largest in Africa and its capital injection into Monarch Insurance will bolster our growth and ambition to become a reference player in Kenya’s insurance industry.”
Speaking on behalf Holmarcom Group, the chairman and CEO, Mr. Mohamed Hassan Bensalah said: “With an expertise in insurance of more than 40 years, solid fundamentals and a market with strong potential, we are convinced that The Monarch Insurance company has a real growth prospects and we are delighted to be able to be part of its evolution in Kenya.”
The transaction will result in a cash injection to fully capitalize Monarch Insurance Company and unlock funds to drive strategic growth. Holmarcom is the largest private conglomerate in Morocco with a 40-year legacy across Finance, Agro-industry, Real Estate and Distribution & Supply Chain, in Morocco and Africa. Holmarcom’s listed subsidiary AltantaSanad Assurance in the the Morocco market leader with a market capitalization of $544M (Dec 2020).
Monarch Insurance is a composite insurance company (life and non-life) that has been operating in Kenya for over 40 years. The company relies on a team of about 130 employees and a large distribution network that includes, in addition to agents and brokers, twelve branches covering the whole country.