Momentum and Metropolitan operate in different markets, with Momentum’s key area of focus the upper-income market segment, and Metropolitan focusing predominantly on the low to middle-income markets.
Significant value should be realised for clients, staff, shareholders and other stakeholders as a result of the merger:
- the combination of Momentum and Metropolitan will expand the merged entity’s target markets and create a leading competitive, insurance-based financial services group with businesses in life insurance, healthcare administration, asset management, short-term insurance and employee benefits, both locally and elsewhere in Africa;
- the merged entity will benefit from enhanced growth opportunities, revenue synergies and economies of scale;
- cross-selling of insurance-based financial products and loyalty programmes into the large combined retail and group client bases of Momentum and Metropolitan;
- capital efficiencies through the further diversification of risks as part of an ongoing capital management programme;
- with its enlarged footprint the merged entity will be well positioned to expand its activities outside South Africa; and
- the merged entity will have a material black empowerment shareholding.
Etienne de Waal, CEO of Momentum’s employee benefits division, has been appointed CEO of the merged employee benefits business.
Fore more information
please visit www.momentum.co.za