The Rwanda Social Security Board (RSSB) has completed the acquisition of BK General Insurance Ltd from BK Group Plc for Rwf31.7 billion, giving the social security fund full ownership of the insurer and paving the way for the consolidation of Rwanda’s insurance businesses.
The transaction involved 3 million fully paid ordinary shares, valued at Rwf10,567 per share, compared with their initial value of Rwf1,000. BK Group said the sale price was determined through an independent valuation.
The acquisition is expected to bring BK General Insurance together with SONARWA General Insurance Ltd (SGI), creating a larger general insurance business under RSSB. SONARWA Life Assurance will continue operating as the life insurance arm.
RSSB already owns SONARWA General Insurance and holds 100% of SONARWA Life Assurance, meaning the acquisition brings three insurance businesses under its control.
RSSB said the consolidation is intended to strengthen the insurers’ financial capacity, technical expertise and operational efficiency while improving customer services and competitiveness.
Regis Rugemanshuro, Chief Executive Officer of RSSB, described the acquisition as a major step toward building a stronger and more competitive insurance business.
He said integrating the companies under a unified management structure would help support innovation and contribute to the development of Rwanda’s insurance industry.
For BK Group, the sale forms part of its strategy to concentrate on its core banking and investment businesses.
Dr Uzziel Ndagijimana, Chief Executive Officer of BK Group Plc, said Bank of Kigali accounts for about 98% of the group’s business, while its investment activities are conducted through BK Capital.
The strategy is intended to expand services, increase market reach and strengthen collaboration between the group’s banking and investment businesses.
BK General Insurance was established by Bank of Kigali as part of its expansion into the insurance sector. The insurer provides general insurance products to individuals and businesses.
RSSB said it would continue investing its funds prudently, focusing on investments capable of generating sustainable returns for its members while contributing to Rwanda’s wider economic development.
The acquisition further strengthens RSSB’s position in Rwanda’s insurance industry and creates a larger platform for offering both general and life insurance services.
