GraceKennedy announced today it will acquire 100 per cent of Scotia Insurance Eastern Caribbean Limited (SIECL).
The agreement, signed with Scotia Insurance Caribbean Limited, is subject to regulatory approvals and other customary closing conditions.
The value of the deal was not shared.
SIECL is a licensed life insurance company operating in seven countries in the Eastern Caribbean: Anguilla, Antigua and Barbuda, Dominica, Grenada, St Kitts-Nevis, St Lucia and St Vincent and the Grenadines.
After regulatory approvals and transaction close, SIECL will become the tenth member of the GraceKennedy Financial Group, which comprises GK General Insurance, Canopy Insurance, Key Insurance, Allied Insurance Brokers, GK Insurance Eastern Caribbean, GraceKennedy Remittance Services, GraceKennedy Money Services, GK Capital Management, and First Global Bank.
GraceKennedy Group CEO, Don Wehby, said, “I am pleased to see this acquisition becoming a reality because the Eastern Caribbean aligns with GK’s strategic vision of expanding our financial services business in the region.
“We have identified general and life insurance as significant areas of growth in the Caribbean and have been actively seeking opportunities in this regard.”
Wehby said GK’s mergers and acquisitions strategy has been accelerated through its new M&A unit and that the acquisition of SIECL brings to fruition one of several prospects the unit has in its sights.
The announcement comes on the heels of the release of GraceKennedy’s best financial performance in its 99-year history in 2020, including noteworthy growth in its insurance segment.
Chief operating officer of GKFG, Steven Whittingham, who has direct responsibility for the Group’s insurance segment, said, “GraceKennedy’s foray into health and life insurance, and the continued growth of our local and regional broking, property and casualty insurance companies, have resulted in a 41 per cent increase in revenue over the last year for our Insurance Division.