Santam Gets Green Light on Emerald Deal

October 29 - The South African Competition Commission heard the case brought by Santam for the acquisition of Emerald Insurance Company and has given the thumbs up on the deal.

Santam stated its intention to purchase Emerald Insurance from the troubled Super Group, which will see it acquire 100% of the issued share capital of the short term insurance company.

Speaking about the purchase, the Head of Specialist Business at Santam, Quinten Matthew said that the deal would give Santam the chance to strengthen its corporate insurance portfolio.

"This will add to our standing as the leader in short term insurance in South Africa," said Matthews.

"While we are proud of being voted the preferred short term insurer in corporate, commercial and personal insurance by the FIA's independent survey earlier this year, we know that the corporate market in South Africa has a range of diverse and unique skills that require constant investment," he added. "One such investment for us can be found in this new proposed partnership."

Santam's expansion to the corporate market comes on the heels of the group's stated intentions to protect its market share by eyeing opportunities beyond South Africa's borders.

"Ghana, Botswana and India look particularly attractive to the company," said the Senior Portfolio Manager at Santam Investment Management.

The group has already increased its South African market share from 22%  to 25% though the purchase of Emerald Insurance and other mergers.

None of the sides would put a number on the price tag of the Emerald Insurance deal.