Assupol acquires majority interest in Pan-African Asset Management

Assupol Investment Holdings (Proprietary) Limited (“Assupol Investments”), a wholly-owned subsidiary of Assupol Holdings Limited, has acquired 56% of the issued share capital of Pan-African Asset Management (Pty) Limited (“PAM”).

The acquisition forms part of Assupol Holdings’ strategic and financial objective to diversify its revenue stream. Currently, Assupol Holdings Ltd receives the majority of its revenue and profits from its long-term life insurance arm, Assupol Life Limited. The terms of the agreement allow Assupol Investments the right to subscribe for additional shares in PAM in future.

It is anticipated that the acquisition will result in cost savings for Assupol Holdings. “In any decision-making we always consider the value proposition for our shareholders. PAM has a good strategic fit and brings synergistic benefits to the Group that will lead to cost saving and value enhancing. PAM is one of a few well established BEE rated asset managers with a credible performance track record with whom we have had a long-standing business relationship. We are excited about strengthening these ties to better serve our growing client base and grow the assets under management”said Rudi Schmidt, Group CEO of Assupol Holdings.

Assupol has become synonymous with insuring the low to middle income market. Established in 1913, Assupol has grown from providing long-term insurance to the SAPS to providing a full range of insurance products to the entire lower income segment with particular focus on the civil service.

“Assupol has been a valuable partner, and Pan-African Asset Management is excited to contribute towards the expansion of a trusted BB-BEE company” said Helen Masson, PAM’s CEO and Chief Investment Officer. Based in Johannesburg, PAM is a fully empowered asset management firm established on 1 July 1996.