CMS Daly & Inamdar led by Ashwini Bhandari, a Senior Partner in the Corporate/M&A department, represented the Jubilee Group in the high value and complex transaction seeking to grow short-term property and casualty insurance business in five African countries – Kenya, Uganda, Tanzania, Burundi and Mauritius.
Jubilee Holdings Limited (“JHL”) began operations in Kenya in 1937 and has grown significantly over past 82 years. JHL already has well-established subsidiaries operating profitable short-term insurance businesses in each of these five countries and sees the potential to grow these businesses further underpinned by rapid demographic expansion, a growing middle class and an expanding small- and medium-sized enterprise segment operating within stable and growing economies.
The Allianz group is one of the world's leading insurers and asset managers with more than 92 million retail and corporate customers across 70 countries that traces its roots back to the establishment of a transport and accident insurer in Germany in 1890. In Africa, the Allianz group is present in  countries – including a subsidiary in Kenya that started operations in 2016 – and serves its customers in 39 African countries via a network of trusted insurance companies.
If successfully completed, the proposed business partnership arrangement will mean that members of the Allianz group will become a co-owner, alongside JHL, in five companies that house JHL group’s current business activities providing short-term property and casualty insurance services in the five countries combined with the short-term insurance business currently conducted by the only Allianz subsidiary – Allianz Insurance Company of Kenya Limited – that is incorporated in one of the five countries.
The proposed partnership should help deliver a stronger insurance franchise focused on meeting the diverse and growing protection needs of local customers in the region and, through increased investment and innovation locally, the partnership should be well-placed to accelerate growth and deliver increased value for customers in the region.
Chairman of JHL, Mr Nizar Juma said: “We are confident that bringing our businesses together is the right decision to take our customer offering in the East African region and Mauritius to the next level by putting us in a stronger position to deliver more comprehensive protection solutions. The future is positive for all stakeholders associated with the JHL group and we look forward to our partnership better serving existing customers, while welcoming new ones to our family.”
Allianz Regional CEO Africa, Coenraad Vrolijk said: “Today represents an important milestone for Allianz’s growth ambitions in East Africa and the wider region. The proposed business relationship between both businesses will allow us to collaborate and deploy our combined expertise to deliver an improved customer proposition in the region. These moves reflect the strategic efforts Allianz is making across Africa and we look ahead with confidence.”