The Co-operators will soon become the sole owner of CUMIS General Insurance Company and CUMIS Life Insurance Company after Central 1 Credit Union withdraws its stake by the end of the month.
According to Central 1 CEO Mark Blucher, the move reflects his firm’s push to focus on its key strategic priorities.
"This shift allows us to focus our attention and resources on banking and payments solutions that provide the greatest value to our clients and their customers."
“Our goal is for Central 1 to be the partner of choice who puts the focus on our clients and their needs, and creates a system environment that helps credit unions and their members thrive,” he added.
For his part, The Co-operators CEO Rob Wesseling said the change simplifies his firm’s structure and operations.
In a statement, The Co-operators said all due diligence has been completed in the required legal, tax, valuation and financial areas for the benefit of both organisations, their members, and clients.
The transaction awaits approval from regulators and compliance with customary closing conditions.
Once the agreement closes, CUMIS General Insurance will be restructured to become a subsidiary of The Co-operators.