Tower to sell Solomon Islands business
Today Tower announces the conditional sale of its Solomon Islands business to Trans Pacific Assurance Limited.
The transaction will enhance Tower's ability to pursue larger opportunities for growth in the Pacific, where the insurer is investing substantially in new technology and people.
Tower Chief Executive Blair Turnbull says, "Tower's Pacific strategy remains focused on delivering our leading personal and SME customer experience enabled through an innovative digital and data offering. This sale to Trans Pacific will allows us to better streamline our operations and complete our Pacific digital transformation while providing good value for Solomon Islands staff and customers."
Tower is continuing to invest in its Pacific business with the roll out of its My Tower online sale and service platform as well as the rebrand of its Tonga, American Samoa, and Samoa Insurance in 2021. Tower's Suva operations hub continues to grow and now has 200 staff serving both Pacific and New Zealand customers.
Trans Pacific is a privately owned general insurer operating in Papua New Guinea. Trans Pacific sees the acquisition of Tower's Solomon Islands' business as being a good fit with its existing operations, due to the geographical proximity between Papua New Guinea and Solomon Islands, and the similar risk profiles.
Trans Pacific CEO Philip Tolley says, "Trans Pacific is pleased to be expanding to our nearest neighbour, the Solomon Islands. We respect the long history of service that Tower has provided to the region, and I am excited to now take the responsibility for that service to the Tower client base and intermediary network, and of course welcome the Tower SI staff to our team."
Trans Pacific will be offering roles to Tower's four Solomon Islands staff members.
Mr Turnbull says, "Tower has been in the Solomon Islands for over 35 years, since opening our local branch in 1985. I would like to extend our sincere thanks to our Solomon Islands staff, customers, and partners for their support and loyalty during this time."
The transaction is subject to conditions, including approval by authorities in New Zealand, Solomon Islands, and Papua New Guinea and confirmation of coverage from Trans Pacific's reinsurers. Provided these conditions are fulfilled, the sale is expected to complete in 2023.