The leading South African insurance company, Sanlam is on an aggressive global expansion mode. Recently it has added Rwanda, the 40th country in its global list by officially taking over 100% of Rwanda’s insurance company (Soras).
The full merger was announced yesterday in Kigali by both officials of Soras and Sanlam. Sanlam’s entered Rwanda in 2014, by buying Soras’s shares amounting to 63% through another insurance company-Saham. It bought the remaining 37% in 2018. Later, in February 2019, through its partner company Saham insurance, Sanlam managed to merge the two rival company (Soras and Saham).
Junior Ngulube, the Vice Chairman Sanlam Pan-Africa explained that Sanlam fully entering Rwanda was motivated by its positive political and investment climate. He cited the examples of companies like Volkswagen and Mara phones in Rwanda which proved its attractive business climate. With a business volume of $16.9billion, $1.3billion operating profits and $57.6 assets under management, plus 91.000 professional staff, this merger is expected to improve the performance of Rwanda’s insurance sector. In Rwanda, most insurance companies restrict their medical and life insurance risks within the country. The merger is going to enable Rwandan clients to have these services covered in 40 countries where Sanlam operates. Sanlam will also speed up the process of calculation of life insurance benefits and claims.
Sanlam, with a history of 100 years’ insurance experience started its global expansion since 2005 through an acquisition process of the best insurance companies in Africa and Asia.
