The merger of Standard Alliance (SA) Insurance Plc and SA Life Assurance Limited is expected to deliver higher dividends to shareholders.
It is also expected to boost service delivery to clients and raise the company’s profile.
Both companies would form a composite insurance company at the end of the merger.
Mr. Nelson Egboboh, spokesman of the firm confirmed that the boards’ corporate decision of combining the existing strengths of both companies was spurred by their desire to create a bigger and financially strong composite insurance company.
At the long run, the company would deliver stronger capacity to serve its various clients and play a more dominant role in the insurance sector.
He disclosed that the corporate action was further being taken with a focus on “delivering superior returns to the shareholders, provide much higher level of satisfactory service to our clients and to save cost of operations.”
He said the management has applied for and secured ‘no objection consent’ from the National Insurance Commission, NAICOM.”