MultiChoice Group will rake in R1.2-billion in money on the finish of this month after the deliberate sale of its insurance coverage enterprise to Sanlam.
MultiChoice and Sanlam stated in a joint assertion to traders on Monday that the situations precedent have been fulfilled, together with approval by the Competitors Tribunal and the Prudential Authority.
Sanlam Life, a completely owned subsidiary of Sanlam, agreed in June to amass a 60% stake in MultiChoice-owned NMS Insurance coverage Companies (NMSIS). The 2 corporations additionally entered right into a long-term business settlement to develop insurance coverage and associated monetary companies choices into MultiChoice’s subscriber base throughout Africa.
“The transaction will change into efficient on 30 November 2024, upon which date MultiChoice will obtain an upfront money consideration of R1.2 billion for its NMSIS stake, with a possible performance-based money earn-out, measured at 31 December 2026, of as much as a most extra consideration of R1.5 billion,” the businesses stated.
In June, when the proposed transaction was first introduced, the businesses stated that the deal would give MultiChoice entry to “unparalleled insurance coverage experience, complete monetary companies assets and entry to Sanlam’s monetary companies operations throughout Africa to deal with MultiChoice consumer wants”. – © 2024 NewsCentral Media
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