FANews
FANews
RELATED CATEGORIES

Sanlam concludes acquisition of Absa Consultants and Actuaries

05 April 2018Sanlam

Sanlam Life Insurance Limited (Sanlam) is pleased to announce that it has concluded the transaction to acquire 100% of the shares in Absa Consultants and Actuaries Proprietary Limited (ACA), having fulfilled all of the conditions precedent including, among others, approvals from the Competition Tribunal and the Financial Services Board.

Sanlam announced in 2017 that it would acquire ACA for a consideration of R285 million from Absa Financial Services Limited. ACA houses the entire employee benefits offering of the Absa Group and provides consulting (asset, actuarial, health and benefit) and administration to retirement funds in the South African retirement fund market.

Says Sanlam Employee Benefits’ Chief Executive, Mr Dawie de Villiers: “We believe the partnership with ACA will add value to Sanlam’s business and to all our stakeholders because of the company’s management and professional expertise, its credibility and its significant operations in both the private and umbrella fund markets. This is yet another milestone in our 100-year history and we look forward to welcoming the ACA team to the Wealthsmiths™ family.”

ACA has a substantial book of stand-alone funds as well as a commercial umbrella fund and has in total 119 retirement funds with 339 614 members (active and inactive) and assets of approximately R84 billion under administration.

“We are delighted that this transaction has been approved by the regulators. Sanlam has in-depth knowledge of the employee benefits market, and we are satisfied that our clients and ACA colleagues are in good hands. It was always our intention to ensure a smooth transition and continued service to our clients,” says Marcel de Klerk, Managing Executive for ACA at Absa Financial Services.

As announced in October, ACA will continue to fulfil its contractual obligations to its clients as normal prior to and after the transaction is concluded. Following the conclusion of the sale, ACA and Sanlam have entered into a transitional services agreement. This transitional services agreement will ensure an orderly handover and minimise any possible disruption.

Quick Polls

QUESTION

The FPI has made the industry news headlines for the wrong reasons. Do you believe this will have any effect on the credibility of the DFP designation?

ANSWER

Yes
No, not really
I am not sure… time will tell
AE fanews magazine
FAnews June 2018 EditionGet the latest issue of FAnews

This month's headlines

Taxing of crypto currencies… the rules are clear
Meaningful CPD Planning
Policing broker fees #PPRs
Hinged on false information
The client gets away unscathed
Investing… it’s about more than just performance
Subscribe now