Namibia-incorporated Trustco Group Holdings (TGH) has agreed to purchase all the shares of Constantia Risk and Insurance Holdings and Conduit Ventures for ZAR2bn ($136.5m).
Trustco, via its subsidiary Legal Shield Holdings (LSH), intends to strengthen its insurance business in the region. The company hopes to fulfil this objective through this deal.
Constantia provides medical malpractice cover, primary health insurance and medical gap cover products, among others.
The subsidiaries of Conduit Ventures offer insurance adjacent services such as risk management and services related to claims to Constantia and other insurance companies.
TGH MD Quinton van Rooyen said: “Only by going on the investment offensive — especially in the face of economic adversity – will sustainable growth be ignited, and wealth creation secured in such a way that it will trickle throughout all layers of society.”
“It is a reminder that Namibians will have to work their way out of challenges and that having the best policies will not be enough. The best policies must be implemented and pursued vigorously if we are to improve services and enable wealth creation for all. Only then will we have the sustainable development that feeds the various economic streams and needs of the people, both in Namibia and South Africa.”
In the last reporting period, Constantia reported assets of ZAR2.1bn ($141.8m), capital and reserves of ZAR699m ($47.2m), revenues of ZAR2.1bn ($141.8m) and a post-tax loss of ZAR582m ($39.3m).