AXA Mansard sells pension subsidiary to Eustacia Limited
AXA mansard insurance Plc has announced its divestment from its pension subsidiary, AXA Mansard Pension Limited, after agreeing to sell its stake to Eustacia Limited, a member of the Verod Group.
According to the company, this is part of the insurance firm’s plan to focus on and grow its insurance businesses across all parts of the country noting that Eustacia Limited was selected as the preferred bidder, after the completion of a bid process.
“AXA Mansard along with the minority shareholder agreed to sell the entire issued ordinary share capital of AXA Mansard Pensions comprising of 60% shareholding (2,067,672,000 shares) held by AXA Mansard Insurance Plc and 40% shareholding (1,378,448,000 shares) held by the minority shareholder,” the company said.
The sale is coming after obtaining the Shareholder’s approval at the Company’s Extra-ordinary General Meeting held on the 13th of February 2020, the Company commenced the process of divestment by appointing Messer Rand Merchant Bank as the Financial Advisers while Aluko & Oyebode acted as the Legal Advisers on the transaction.
The insurance firm also in its statement said that the divestment has received letters of no objection from the National Insurance Commission (NAICOM), National Pension Commission (PENCOM) and the Federal Competition & Consumer Protection Commission (FCCPC).
In his reaction, Kunle Ahmed, CEO, AXA Mansard Insurance Plc, said that the transaction marks a new step in the insurance firm’s broader strategy to focus on and grow their life, property & casualty and health businesses across all its geographies. Ahmed said that the AXA Group sees great potential in the Nigerian insurance market and believes it is ideally placed to capture these opportunities due to its market leadership position.
On his part, Dapo Akisanya, CEO of AXA Mansard Pension Limited said that they are confident about Verod’s strong commitment to providing the company with the requisite support to actualize their promise to its clients and stakeholders.
A partner at Verod Group, the new owners, Eric Idiahi, said, ‘’We strongly believe that this is the ideal time to enter the market and that AXA Mansard Pensions provides an excellent beachhead from which to establish a consolidated position and gain market share.”