Monarch Insurance has announced its deal with the Holmarcom Group through its holding company, Holmarcom Insurance Activities, for the acquisition of a majority stake. The agreement was signed between Mr. Jared Kangwana, Chairman and CEO of Kamu Group, and Mr. Mohamed Hassan Bensalah, Chairman and CEO of Holmarcom.
The acquisition is subject to approvals by Kenya’s Insurance Industry regulator, the Insurance Regulatory Authority and the Competition Authority of Kenya. After the necessary approvals, Holmarcom Insurance Activities will become the majority shareholder of the company with a stake of 51%, along with Kamu Group and Maisha Bank.
The Monarch Insurance is a composite insurance company and has been operating in Kenya for over 40 years. The company has about 130 employees and a large distribution network that includes agents, brokers and 12 branches countrywide.
Commenting 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 currently the largest private group in Morocco, with a 40-year legacy across Finance, Agro-industry, Real Estate and Distribution and Supply Chain, in Morocco and Africa.
With the acquisition Monarch Insurance will benefit from Holmarcom’s subsidiaries product innovation in areas such as health insurance and in turn, Holmarcom will benefit from Monarch Insurance’s networks and in-market experience.