NCBA Group PLC has announced the complete acquisition of AIG Kenya Insurance Company Limited. This marks the full integration of the insurance company into the NCBA Group. This acquisition consolidates NCBA’s position as a powerhouse in the regional financial sector, now encompassing a variety of specialized financial services across East Africa.
The NCBA Group is a leading financial services provider. The group operates a wide network of over 100 branches spread across five countries including Kenya, Uganda, Tanzania, Rwanda, and Ivory Coast. AIG Kenya, on the other hand was established in 1972, and has been a prominent player in the Kenyan insurance market.
NCBA has held a minority share in AIG Kenya for over 18 years, making this acquisition a strategic enhancement to its business model. “We are thrilled to welcome AIG Kenya into the NCBA family. This acquisition not only expands our service portfolio but also significantly enhances our ability to offer a seamless and comprehensive financial services experience to our customers,” commented John Gachora, Group Managing Director of NCBA.
The integration promises to enhance the insurance offerings available to NCBA’s customers, combining AIG’s specialized insurance capabilities with NCBA’s extensive financial services. “Joining forces with NCBA opens up new avenues for growth and service delivery. With NCBA’s vast resources and network, we are now better positioned to serve our customers with an expanded array of products and improved operational efficiencies,” said Stella Njunge, CEO of AIG Kenya.
With the insurance industry in Kenya valued at KES 309 billion and growing at a compound annual growth rate (CAGR) of 10%, even amid macro-economic challenges, NCBA’s acquisition of AIG Kenya is timely. It is set to tap into this sizeable market, aiming for deeper penetration and increased market share. The merger is expected to catalyze further growth and innovation within the insurance sector in Kenya and the broader East African region, supporting NCBA’s goal of comprehensive financial inclusivity.
This strategic expansion underlines NCBA’s commitment to adapting and growing in a dynamic economic landscape, ensuring it continues to meet the evolving needs of its customers across Africa.
