Zurich Financial Services Group is to sell a 10% stake in South African Eagle Insurance to Royal Baf...
Zurich Financial Services Group is to sell a 10% stake in South African Eagle Insurance to Royal Bafokeng Finance (RBF) as part of the Black Economic Empowerment (BEE) initiative, and will develop financial products to people in the North West province of South Africa.
The financial products are likely to be insurance-based savings and investment vehicles. These will be targeted at people in the province but could also expand to include other parts of the country.
Kgosi Leruo Molotlegi, king of the Royal Bafokeng Nation, said: "The acquisition of this interest is an important step in broadening the community's access to cost-effective financial products and increasing our involvement in the national economy."
The goal of the BEE, as set out in the Financial Sector Charter, is to strengthen South Africa's democracy through broadening economic participation and creating opportunities for the country's black population.
Martin South, chief executive officer of Zurich's International Business Division, said: "The transaction provides us with a chance to explore new business opportunities that support the spirit of the Charter and provide disadvantaged people with access to financial services."
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