FCMB Pensions Ltd acquires 60% of AIICO Pension Managers Limited

FCMB Pensions Limited, a subsidiary of FCMB Group Pc, has announced the acquisition of a 60% stake in AIICO Pension Managers Limited (‘’AIICO Pensions’’).

This is according to a notice issued by the FCMB Group and made available on the website of the Nigerian Exchange Group Limited (NGX). In the letter FCMB Group said its pension management subsidiary, FCMB Pensions Limited, had received relevant regulatory approvals and concluded the acquisition of a 60 per cent stake in AIICO Pension Managers Limited.

Both firms had in June 2020, disclosed that they were in discussions with the aim of FCMB Pensions acquiring 70 per cent of AIICO Pensions from AIICO Insurance ,while 26.3 per cent would be acquired from other shareholders to bring the total of 96.3 per cent.

The acquired stake was reduced from the initial 96.3 per cent stake in our notification to the NGX on 25 June 2020 to comply with the transaction structure approved by regulators. The goal is to combine the businesses of FCMB Pensions and AIICO Pensions to build a stronger and more resilient business,” FCMB Group said.

On its part, AIICO Insurance notified the NGX that it had completed the sale of its 33.9 per cent shareholding in AIICO Pensions Managers Limited to FCMB Pensions Limited.

“In line with the approval from the National Pension Commission (PENCOM), the transaction is subject to a merger of AIICO Pensions and FCMB Pensions. This is in compliance with the PENCOM’s circular ref: PENCOM/INSP/CIR/SURV/15/03 of September 21, 2015 which states that “no individual, group of individuals or company shall have direct or indirect ownership/shareholding of 5.0 per cent and above in more than one licensed pension fund operator”. Therefore, following this sale, AIICO Pensions ceases to be a subsidiary of AIICO Insurance and has now become an indirect subsidiary of FCMB Group Plc,” AIICO Insurance said.