---
title: "Sanlam kitty is a tad lighter after six months of aggressive acquisitions and partnerships"
description: "Sanlam's strategic investments and repurchases have put them back on track, with the share price rising 25% since September."
type: "NewsArticle"
publisher: "Daily Maverick"
site: "https://www.dailymaverick.co.za"
section: "COMPANIES"
author: "Neesa Moodley"
author_url: "https://www.dailymaverick.co.za/author/neesa-moodley/"
canonical_url: "https://www.dailymaverick.co.za/article/2023-09-07-sanlam-kitty-is-a-tad-lighter-after-six-months-of-aggressive-acquisitions-and-partnerships/"
published: "2023-09-07T20:11:41"
lang: "en-ZA"
word_count: 237
---

# Sanlam kitty is a tad lighter after six months of aggressive acquisitions and partnerships

> Sanlam's strategic investments and repurchases have put them back on track, with the share price rising 25% since September.

By Neesa Moodley · Published 7 September 2023, 22:11 SAST

## Key points
- Sanlam's strategic investments and repurchases have put them back on track, with the share price rising 25% since September and positive outlook for Africa in the medium to long-term.
- Sanlam's net operational earnings soared by 64% for the six months to the end of June.
- Sanlam made several acquisitions including a stake in AfroCentric, Capital Legacy and BrightRock.
- Discretionary capital fell from R5.3-billion at the end of 2022 to R3.2-billion by the end of June.
- The share price has jumped 25% since September, and management is positive about medium to long-term prospects for African countries.

## Content

You often hear the words “once-in-a-lifetime” thrown around. However, Sanlam was on the money when it noted that its numbers are finally “back on track” after a series of one-in-100-year events between 2020 to 2022.

The financial services giant saw net operational earnings soar by 64% for the six months to June. Strong investment markets and a weakening of the rand relative to the main valuation currencies in the non-South African operations also contributed to the higher returns.

During the period under review, Sanlam bedded down several acquisitions including:

- A 60% stake in AfroCentric, a health insurance provider.
- A [stake in Capital Legacy](https://www.dailymaverick.co.za/article/2023-02-06-sanlam-brings-two-innovative-companies-into-its-stable-for-r1-1bn/), which provides wills and estate planning services in the South African market.
- A buyout of the remaining shareholding in innovative insurer, BrightRock.
- A R35-billion joint venture with Germany’s Allianz to form [SanlamAllianz](https://www.sanlam.co.za/mediacentre/media-category/media-releases/Sanlam%20and%20Allianz%20Join%20Forces).

On the back of all these transactions and share repurchases, the Sanlam kitty has reduced, with discretionary capital falling from R5.3-billion at the end of 2022 to R3.2-billion by the end of June. However, the market seems to approve, with the share price having jumped 25% from R54.66 last September to close at R68.42 on Wednesday this week.

Chief executive Paul Hanratty says management is positive about the medium- to long-run prospects for the African countries where we operate, with the short-term economic challenges set to reverse over time and the continent likely to achieve good income growth.**DM**