Picture: 123RF/SOLAR SEVEN
Picture: 123RF/SOLAR SEVEN

Investment holding company Conduit Capital has reached agreement in a R2bn sale of its insurance business to Namibian financial services group Trustco.

The sale to Trustco’s subsidiary Legal Shielding Holdings (LSH) is expected to be implemented by end-March 2020, the company said on Monday. In it Conduit Capital will take a 16.1% stake in LSH.

Conduit Capital said the sale of its insurance business, Constantia Risk and Insurance, will bolster its balance sheet and give it an investment in a larger and more diversified financial services provider.

LSH, which has a client base of 280,000, owns real estate assets in Namibia.

“The combination of Constantia with LSH will allow Constantia to benefit from a larger balance sheet which will unlock growth and value creation opportunities in the South African, Namibian and other international insurance markets,” the company said.

gernetzkyk@businesslive.co.za