Prudential Strengthens Nigerian Market Position with Full Acquisition of Zenith Life

Prudential Strengthens Nigerian Market Position with Full Acquisition of Zenith Life

(IN BRIEF) Prudential plc is acquiring full ownership of Prudential Zenith Life Insurance in Nigeria, enhancing its position in the country and strengthening its bancassurance partnership with Zenith Bank. This move supports Prudential’s strategy to grow its presence in high-potential markets like Nigeria, where the life insurance sector remains underpenetrated.

(PRESS RELEASE) LONDON, 27-Sep-2024 — /EuropaWire/ — Prudential plc has announced its decision to acquire the remaining shares of Prudential Zenith Life Insurance Limited (PZL), a joint venture in Nigeria. The acquisition strengthens Prudential’s foothold in the growing Nigerian market and enhances its partnership with Zenith Bank, a prominent financial institution in Nigeria with over 400 branches and around 29 million customers.

Prudential initially acquired a 51% stake in PZL in 2017, benefiting from PZL’s bancassurance agreements with Zenith Bank in both Nigeria and Ghana. This full acquisition aligns with Prudential’s broader strategy of expanding its footprint in Africa by focusing on high-growth potential markets. The transaction, to be paid in cash, also includes a performance-based component.

Solmaz Altin, Managing Director of Prudential’s Strategic Business Group, expressed enthusiasm about the acquisition, emphasizing its alignment with Prudential’s strategy of building a sustainable multi-channel growth platform. Altin noted that Nigeria offers substantial long-term opportunities for growth, and Prudential plans to leverage its bancassurance partnerships, agent network, and direct distribution to serve customers better.

Emmanuel Aryee Mokobi, CEO of Prudential Africa, highlighted the significant growth potential in Nigeria’s insurance market, where penetration remains low but offers strong opportunities for expansion. Prudential’s increased investment will focus on customer experience, tech-enabled distribution, and health initiatives to unlock the full potential of its Nigerian business.

Nigeria is Africa’s largest economy with a GDP of $477 billion and a rapidly growing population expected to reach 370 million by 2050, making it an increasingly important market for Prudential’s growth ambitions in Africa.

About Prudential plc

Prudential plc provides life and health insurance and asset management in 24 markets across Asia and Africa. Prudential’s mission is to be the most trusted partner and protector for this generation and generations to come, by providing simple and accessible financial and health solutions. The business has dual primary listings on the Stock Exchange of Hong Kong (2378) and the London Stock Exchange (PRU). It also has a secondary listing on the Singapore Stock Exchange (K6S) and a listing on the New York Stock Exchange (PUK) in the form of American Depositary Receipts. It is a constituent of the Hang Seng Composite Index and is also included for trading in the Shenzhen-Hong Kong Stock Connect programme and the Shanghai-Hong Kong Stock Connect programme.

Prudential is not affiliated in any manner with Prudential Financial, Inc. a company whose principal place of business is in the United States of America, nor with The Prudential Assurance Company Limited, a subsidiary of M&G plc, a company incorporated in the United Kingdom.

https://www.prudentialplc.com/

About Prudential Zenith Life

Prudential Zenith Life Insurance Limited, formerly known as Zenith Life Insurance, was established in 2006 as a subsidiary of Zenith Bank Plc. In 2017, Prudential Group UK acquired a 51% stake in Zenith Life Insurance, leading to the formation of Prudential Zenith Life Insurance Ltd.

Today, Prudential Zenith Life serves a diverse range of corporate and individual clients from various business sectors. Our portfolio includes a comprehensive range of Individual Life Insurance Products, such as Savings & Investment, Endowment, and Protection products, tailored to meet the unique needs of individuals and their families. Additionally, we offer Corporate Products, such as Group life, Key-man assurance, Credit Life, and Mortgage Protection, to cater to the welfare of employees and their families within corporate organizations. Prudential Zenith stands as one of the most capitalized companies in the Nigerian insurance industry, with a resolute goal of helping people get the most out of life.

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SOURCE: Prudential plc