Strong vote of confidence in the creation of a united, formidable financial services provider in Africa, at scale
Liberty shareholders have approved the proposal by the Standard Bank Group (SBG) to buy out its minority shareholders and to integrate Liberty fully into the greater group. The approval was secured at a general meeting held earlier today. This represents a significant milestone towards finalising the proposed transaction, expected in the first quarter of 2022.
The strategic benefits of the transaction remain numerous and compelling. Commenting on the shareholder approval, SBG CEO Sim Tshabalala said:” We are delighted that shareholders are supportive of the vision to build the largest financial services provider on the continent that will be best placed to provide insurance and banking products in a more competitive and efficient manner.”
“We believe this transaction is a natural progression of the long-standing strategic relationship between the Standard Bank Group and Liberty. Furthermore, it increases our ability to provide the best financial service offerings to our clients through the most efficient means.”
Liberty CEO David Munro said: “Standard Bank’s banking, private client asset management and short-term insurance capabilities will complement Liberty’s strength in long term insurance and asset management. Clients will benefit from the capital strength of the Standard Bank Group and the access to world-class technology partners and processes, especially during major transition points in their lives.”
The transaction is still subject to approvals from the South African Reserve Bank Prudential Authority, the Competition Commission, and other regulatory bodies.
Until all the conditions precedent are met, both entities will function separately, on a business-as-usual basis, with minimal client disruption.