Morocco: Saham Finance says proposed deal with Sanlam is on normal course
Source: Middle East Insurance Review | Jul 2018
Saham Finance has denied media reports that there has been undue delay in completing its sale to South Africa’s biggest insurer Sanlam that was announced on 8 March.
According to Ecofin Agency, authorised sources in Saham Finance said, ‘’Obtaining the necessary regulatory approvals for the effective completion of the Sanlam-Saham deal does not suffer from any undue delay.
‘’Saham Finance wishes to formally deny having been given any indication of any refusal by the regulatory and control authorities of the transfer to the Sanlam group.”
The company added, “In recent statements largely relayed by the Moroccan local press, an authorised source within the Insurance and Social Security Supervisory Authority (ACAPS) has clearly indicated that the file is still under review and no decision has been taken. It follows that, in the absence of a formal reply at this stage, the procedure for obtaining the said regulatory authorisation follows its normal course in accordance with regulations.’’
Le Boursier had reported on 8 May an ACAPS official as having said that the regulator’s review of the proposed M&A deal was on schedule.
Sanlam aims to own 100% of Saham Finance, which controls Saham Assurance, as part of its plan to become a pan-African insurance group. Sanlam will pay around $1bn for the purchase of the remaining 53.4% stake in Saham Finance that it currently does not hold. The schedule is for the transaction to close in July or at the latest by November.
The acquisition will give Sanlam access to Saham’s fast-growing African business in 26 countries through 65 subsidiaries across the continent. Saham has been following the strategy of Moroccan banks which have been moving to sub-Saharan countries, part of the kingdom’s strategy to grow its influence in Africa. M