Willis Group Holdings has agreed to acquire the business and assets of Reinsurance Consultants and Intermediaries Ltd. (RCI), the reinsurance division of South African insurance broker Glenrand M.I.B. Limited (JSE:GMIB).
As part of the transaction, Willis will also acquire GMIB’s majority shareholding in Reinsurance Consultants and Intermediaries (Mauritius) Limited. RCI has annualized total revenue of approximately ZAR 31 million (approximately $5 million).
The transaction, which is subject to, among other items, necessary regulatory approval, is expected to close by year end.
Originally part of Glenrand M.I.B., one of South Africa’s largest independent insurance broking and risk consulting groups, RCI is a specialist South African reinsurance broker. Based in Hyde Park, Johannesburg, with an office in Mauritius, RCI will reportedly provide Willis Re with a significant local presence to serve the reinsurance needs of the growing economies of southern Africa.
This acquisition is part of Willis’ strategy of enhancing its global reinsurance platform and follows closely the recent agreement to establish Willis Gras Savoye Re which will serve the reinsurance needs of the French and Belgian markets.
RCI’s Iain Macindoe will continue to lead the new company in his capacity as CEO. Warren Neale, managing director of Willis Re will oversee the new South African operation.