Commission approves Lombard Life and Guardrisk
Pretoria - The Commission has approved, without conditions, the merger between Lombard Life and Guardrisk in terms of which Lombard Life intends to transfer long-term insurance policies (including the rights and obligations relating to the policyholders and the assets and liabilities relating to the policies) to Guardrisk. Post-merger, Guardrisk will have sole control over the long-term insurance policies.
Lombard Life is a registered financial services provider that provides short-term and long-term insurance, financial services and run-off business services: Guardrisk is part of the MMI Holdings Limited, a South African based financial services group that develops markets and distributes a variety of products such as long and short-term insurance, asset management, savings, investments, healthcare administration and employee benefits. MMI Holdings operates through brand names such as Metropolitan, Momentum and Eris.
The merged entity will have a post-merger market share of 14.38% within the broad market for the provision of long-term insurance, with a minimal market share accretion of 0.02%.
The Commission found that the proposed transaction is unlikely to substantially prevent or lessen competition in the market for the provision of long-term insurance. There are no public interest concerns arising from the proposed transaction.
Leave a Comment