American Insurance Group (AIG), the U.S.-based finance and insurance corporation has disclosed plans to liquidate the majority of its shares in Kenyan subsidiary AIG Kenya Insurance to NCBA.
NCBA Group had earlier announced its intention to engage in discussions with AIG Group in a move to own 100 percent of the issued share capital of the subsidiary.
By the end of 2022, AIG held a 66.67-percent stake in AIG Kenya Insurance, making it the sole shareholder, according to disclosures made by the multinational corporation.
NCBA’s valuation of the remaining 33.33 percent ownership (maintained for the past 18 years) in the underwriter is Ksh.2 billion or US$.13.5 million as of December last year.
AIG Kenya Insurance Company Limited represents the fourth subsidiary of AIG Group on the African continent, following in the footsteps of AIG Egypt Insurance Company S.A.E and South Africa’s Johannesburg Insurance Holdings, including AIG Life South Africa and AIG South Africa Limited.
NCBA Group which operates in five countries across Africa is linked to Kenya’s former President Uhuru Kenyatta and the family, Merali and the late former Central Bank of Kenya Governor Ndegwa.