• IS provokes sea-change

    It has been a grave mistake to defy both Russia and France, says Leopold Scholtz.

  • Nene's SAA nemesis

    No political figure seems to have the guts to speak out against Dudu Myeni, says Solly Moeng.

  • The mp3 revolution

    Ian Mann takes a look at the war between digital music and the compact disc.

All data is delayed
See More

MMI shares fall on listing

Dec 01 2010 14:16
Reuters & Fin24

Company Data

MMI Holdings Limited [JSE:MMI]

Last traded 24
Change -1
% Change -3
Cumulative volume 5808468
Market cap 0

Last Updated: 27-11-2015 at 05:00. Prices are delayed by 15 minutes. Source: McGregor BFA


Last traded 62
Change -1
% Change -1
Cumulative volume 1183501
Market cap 0

Last Updated: 27-11-2015 at 05:00. Prices are delayed by 15 minutes. Source: McGregor BFA


Last traded 48
Change -1
% Change -2
Cumulative volume 5282083
Market cap 0

Last Updated: 27-11-2015 at 05:00. Prices are delayed by 15 minutes. Source: McGregor BFA

Johannesburg - Shares of MMI Holdings fell 1.8% to R15.99 on the insurer's listing on the JSE on Wednesday.

MMI's shares replace Metropolitian, after Metropolitian Holdings was acquired by unlisted rival Momentum.

MMI said that the listing was the culmination of eight months of "intensive" negotiations and the merger represented one of South Africa’s largest and most complex financial services transactions.

"This is a significant day in our history and I feel very proud that we have come this far. The merger process was comprehensive, and sometimes difficult, but the fact that we are listing today is confirmation of the compelling business case the merger presents," said Nicolaas Kruger, group CEO of MMI. 

FirstRand [JSE:FSR] shareholders now hold 59.3% of MMI with Metropolitan shareholders owning 40.7%. FirstRand would unbundle all of its shares, leaving RMB Holdings [JSE:RMH] with a 17.9% stake in MMI.

‘Whilst Momentum has significantly benefited from its time as part of the FirstRand Group the opportunity to carve its own niche in the financial services industry through this powerful new partnership with Metropolitan is an exciting challenge for us," said Kruger.

MMI said that if it was measured by requirements of the Financial Sector Charter, it would have a black empowerment shareholding of at least 14.4%, with Kagiso Trust Investments holding 9.6% of the shares.

MMI has an embedded value of about R30bn and total assets under management in excess of R400bn, it said.

It will have a combined retail and employee benefits presence in 12 African countries as well as a multi-management business in the United Kingdom. MMI will also have a secondary listing on the Namibian Stock Exchange.

"I believe our African footprint will offer us a wealth of exciting growth opportunities. Whereas Metropolitan has a well-established retail presence in seven African countries, Momentum has built a health and employee benefits presence in 11 African countries. This combination allows for collaboration that will create a broader geographic presence, and provide a greater diversity of products in these and other African countries," said Kruger.

MMI has retained two separate retail business units, with Momentum Retail and Metropolitan Retail, under the leadership of Johann Le Roux and Phillip Matlakala respectively.

MMI’s Investments division (comprising asset management, collective investments, multi-management, property, and international investments) will be headed by Morris Mthombeni.

Employee benefits, focused on the South African corporate sector, will fall under Etienne de Waal.

The healthcare administration and funding businesses of Metropolitan and Momentum will be the responsibility of health CEO Blum Khan.

The international business, predominantly focused on Africa, will be led by Mervyn Cookson.


Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
Comments have been closed for this article.

Company Snapshot

We're talking about:


Marketing is a big concern in SA's small business community, followed by a lack of confidence and partnering with the wrong people, according to a survey.

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...

Voting Booth

The 25 basis points interest rate increase is:

Previous results · Suggest a vote