Sanlam, a leading insurance provider in South Africa, is set to acquire a significant portion of MultiChoice’s insurance business. This strategic move involves Sanlam purchasing a 60% stake for 1.2 billion rand ($66 million) upfront, with the possibility of an additional performance-based earn-out of up to 1.5 billion rand.
The collaboration promises to bring together Sanlam’s extensive expertise in insurance and financial services with MultiChoice’s established client base. “Through the strategic relationship with Sanlam, MultiChoice gains access to unparalleled insurance expertise, comprehensive financial services resources and access to Sanlam’s financial services operations across Africa to address MultiChoice client needs,” the companies noted in a joint statement released on Tuesday.
This partnership aims to leverage Sanlam’s capabilities to enhance the insurance offerings available to MultiChoice customers, expanding the reach and effectiveness of their services across the continent.