Absa Group completed the sale of its 63.32% shareholding in First Assurance Company Limited and Absa Life Assurance Kenya for KSh3 billion, ending its direct ownership of the two insurers that began in 2015.

The buyers, First Assurance Investments, are owned by Syndicate Nominees (52.5%) and Exclusive Holding Limited (47.5%), entities linked to Prime Cabinet Secretary Musalia Mudavadi and Lamu Governor Issa Abdalla Issa Timamy respectively.

Following the transfer, the insurers will operate under the names First Assurance General and First Assurance Life, each retaining the label “formerly an Absa Group Company” for six months during the re‑branding process.

Regulatory approval was obtained before closing, allowing First Assurance Investments to assume full control of both businesses.

Absa Bank Kenya will continue to distribute insurance products from the two firms through its existing bancassurance relationships, ensuring continuity for customers.

The bancassurance arm generated KSh1.3 billion in net profit in 2025, a 35% increase from the previous year, highlighting the financial importance of the distribution model for the bank.

At the end of June 2026, Absa Life Assurance Kenya – now First Assurance Life – held a 4.9% market share in the Kenyan life‑insurance sector, ranking seventh nationally.

First Assurance General, the former First Assurance Company, ranked 14th among general insurers, maintaining a solid position in its market segment.

The transaction is part of Absa Group’s wider African strategy to reduce direct ownership of insurance underwriting businesses while expanding partnership‑based distribution, a pattern also observed in Botswana, Zambia and Mozambique.

In a separate deal, Absa is seeking to increase its stake in Absa Bank Kenya from 68.5% to 85% through a KSh30.9 billion transaction, underscoring its focus on banking rather than insurance ownership.