ZimRe sells 49% of its Malawian subsidiary to Nicoz Diamond
Nicoz Diamond has acquired a 49%-stake of United General Insurance Company (UGIC), the Malawian subsidiary of ZimRe Holdings (ZHL).
The operation, concluded for 1.27 million USD, will be effective on the 1st January 2015. It is part of the recently-announced strategy of the Zimbabwean company to focus on its reinsurance operations.
As a reminder, Nicoz Diamond (held at 28.58% by ZHL) was already managing UGIC on the behalf of ZimRe before the divesture of this stake.
Note that the sale will contribute to shore up the liquidity of ZimRE, that has announced its intention to raise them by 7 million USD. The group also plans to raise another 10 million USD through borrowings.
