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NewsDay

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Zimnat rides on Sanlam partnership

Business
THE Zimnat Group will leverage on its rebranding to grow its business riding on the strength of its pan African shareholder, Sanlam.

THE Zimnat Group will leverage on its rebranding to grow its business riding on the strength of its pan African shareholder, Sanlam.

BY TATIRA ZWINOIRA

In 2015, Sanlam acquired a 40% stake in Zimnat at a value of $11,6 million. Masawara Mauritius Investment Limited owns the remaining 60% shareholding.

Zimnat group CEO Mustafa Sachak told NewsDay on the side lines of the official launch of the new brand yesterday in Harare that using Sanlam would give assurance to clients of their capabilities.

“If you look at it, it is a new fresh look that signifies a partnership with Sanlam. We want to be in the top two and that is also Sanlam’s position that wherever they go they want to be the dominant company or in the top three. Zimnat is associated with one of the largest groups, so when they (Zimnat clients) want to insure their life or want their money looked after by an asset management firm they know we will be safe,” he said.

Sachak said Sanlam wanted a presence in Zimbabwe so “they came into the market, looked at a number of companies and felt that we were the right partners with the same business philosophy, ethos, and policies which is why they chose us”.

The Zimnat Group currently has a market share of over 12% on both life and short-term insurance companies in the country and has an asset base of $92 million.

The Sanlam group acquired the shares through their subsidiary Sanlam Emerging Markets (SEM) and currently has total assets under management worth $57,9 billion.

Sanlam’s interest in Zimbabwe comes at time they are seeking to further grow their footprint regionally. Through their Zimnat partnership in Zimbabwe, they now have a footprint in over 35 countries.

Sanlam Emerging Markets CEO Junior Ngulube said they were optimistic about their prospects in Zimbabwe.

“In the Zimnat Group, we believe we have found a partner who shares our vision, and we will continue to work with them to grow the businesses in Zimbabwe and in the region,” he said.

Sanlam is expected to take a back seat role in the day-to-day running of Zimnat as the company has a history of allowing the local management they have partnered to run the business. The Sanlam group is expected to only participate in Zimnat affairs at board level.