Tokio Marine to Acquire 22.5% Stake in Hollard Insurance

The Hollard Insurance Group announced a “ground-breaking partnership” with Tokio Marine Group. Subject to regulatory approval, Tokio Marine will acquire a 22.5% stake in Hollard South Africa and Hollard International for approximately R5 billion ($327m).

“This is a game-changer for our business – not only does it represent a significant vote of confidence in Hollard, but also in South Africa and in the African continent. The transaction is aligned with President Cyril Ramaphosa’s call for $100 billion to be invested in SA over the next five years and is an endorsement of the well-regulated South African financial services sector. The access to capital this partnership provides will help to accelerate our ambitious plans in Africa and Asia. – Group CEO at Hollard Insurance, Saks Ntombela.

“In addition to its impressive track record in building insurance businesses across the African continent, Hollard’s approach to business is very similar to our own. We feel that Hollard’s corporate vision, values and sense of mission to help customers and society as a whole is deeply embraced within the organisation. We are excited about building a significant presence in Africa through this partnership.” – President and CEO of Tokio Marine Group, Tsuyoshi Nagano.

This isn’t the first encounter between the two companies – in 2015, Hollard and Tokio Marine signed an agreement to collaborate on specific initiatives relevant for Japanese clients in Sub-Saharan Africa, with a focus on risk and insurance requirements.

Recall insurance-related acquisitions here.