NCBA set to acquire 100% stake in AIG Insurance
NCBA Bank has announced plans to acquire a 100 per cent stake in AIG Kenya Insurance.
NCBA, born out of a merger between NIC Group and CBA Group in 2019, is now the third-largest banking Group in East Africa with a network of 107 branches.
“Insurance is increasingly becoming a basic financial need for the type of customer that NCBA serves. We believe that by bringing together NCBA’s physical and digital distribution platforms and AIG Kenya’s insurance capabilities we will accelerate towards our ambition to become a universal bank that addresses a full set of our customers’ financial needs,” NCBA Group Managing Director John Gachora said.
The lender is the current majority shareholder in AIG, and if the proposal sails through, the lender will be in full control of the underwriter.
“The announcement of intent by NCBA and AIG is an exciting development as it represents an opportunity to continue to build on AIG Kenya’s solid platform. Through a combination of NCBA’s customer-centric product offering and their cutting-edge technology solutions, customers will be able to access a variety of insurance products and services, seamlessly,” Stella Njunge, CEO of AIG Kenya said.
The execution of the transaction is subject to necessary due diligence, approvals from the Boards of NCBA, AIG Kenya, AIG Group and the requisite banking, insurance and other regulatory authorities.