Slaughter and May advised Allianz on its strategic partnership with Jubilee Holdings Limited in East Africa
Slaughter and May advised Allianz on its agreement to establish a strategic partnership with Jubilee Holdings Limited (“JHL” or “Jubilee Insurance”) in five African countries where Jubilee Insurance currently operates. The partnership covers the general insurance business in Kenya, Tanzania and Uganda as well as the short-term insurance segment in Burundi and Mauritius.
In the proposed partnership structure, Allianz will acquire controlling stakes in each of these businesses for total consideration of EUR 84 million, while Jubilee Insurance will retain a significant minority stake. Upon completion of Allianz’s acquisition of the majority of the shares of JHL’s subsidiary in Kenya, Allianz will cause the portfolio of Allianz Insurance Company of Kenya Limited to be transferred to the joint venture company. The transaction will require regulatory approvals in the five markets as well as a restructuring of JHL’s subsidiaries in Uganda and Tanzania.
Jubilee Insurance is East Africa’s largest insurance group with gross written premiums of KES 38.2 billion and a pre-tax profit of KES 5 billion in 2019. Through this partnership, Jubilee Insurance and Allianz aim to jointly expand and broaden insurance markets across East Africa.
Slaughter and May have been working closely with the Allianz legal team, including Nandini Wilcke (Regional Head of Legal and of Mergers, Acquisitions and Transformation), Isabel Trojette and Philipp Scheuermann. Bowmans are advising on the local law aspects of the transaction.