Provider of life and health insurance across Africa and Asian markets, Prudential Plc, said an agreement has been reached with Prudential Zenith Life Insurance Limited to acquire its 49 per cent share and take full ownership of the Nigerian insurance firm.

The insurer, who initially acquired a 51 per cent stake in Prudential Zenith Life in 2017, is making this move as part of its strategy to expand its operations across Africa by investing in markets with strong growth potential.

Speaking on the acquisition at a press briefing in Lagos, the Chief Executive Officer for Africa, Prudential Insurance, Emmanuel Mokobi, stressed the significance of the Nigerian market in the company’s Africa strategy, stating: “This transaction increases our participation in a market with significant growth potential.

“Nigeria’s life insurance market remains underpenetrated, representing less than 0.2 per cent of GDP. Acquiring full ownership of Prudential Zenith Life allows us to unlock more value by leveraging customer initiatives and technology-driven distribution.”

He noted that the insurance company will also maintain its bancassurance relationship with Zenith Bank. Mokobi noted that increasing ownership of the PZL business is a strategic step in Prudential’s focus on deploying capital in existing operations with the greatest potential. “Our purpose is to protect lives and be a partner for the future. The acquisition is a powerful testament to that,” he stated.

He added that the bancassurance partnership with Zenith Bank, stressed its efficiency in market expansion to increase insurance penetration through new distribution channels.

However, expressed optimism that with the acquisition, the company will create innovative insurance solutions tailored to customer needs.

The Chief Financial Officer, Prudential Zenith, Afolabi Lawal, said the partnership with Zenith Bank would be instrumental in expanding the bancassurance model and distribution capabilities.