Allianz Australia has agreed to sell its Hunter Premium Funding business to private equity investor Pemba Capital Partners, as it aims to focus on its core insurance operations.

Today’s announcement follows speculation earlier in the year that a deal was being worked on.

Pemba is already a significant player in the premium funding business through its investment in Arteva Funding, which describes itself as the “largest independent” insurance premium funding company in Australia. 

Allianz declined to disclose the value of the deal. It says the Hunter brand will remain, and employees will be offered a transfer with the acquisition.
 
“Our decision to sell this part of our business was made with a focus on simplifying our core operations and ensuring we continue to deliver the best possible value to our partners and customers,” Allianz MD Richard Feledy said.

“We believe that this move positions us to concentrate on what we do best while allowing Hunter to grow and thrive under its new ownership.” 
 
Partner at Pemba Capital Partners Robert Haybittel says he sees “tremendous potential” for growth within Hunter.

“Having partnered with premium funder, Arteva, for several years now, we have considerable experience and insight in this area. 

“With Arteva primarily working with small to mid-sized businesses, and Hunter large companies, we see great opportunities for both brands to grow and deliver even greater value to brokers and customers.” 
 
The deal should complete on April 1 next year, subject to certain conditions and regulatory approvals.