(Ecofin Agency) - The transaction, which includes several entities active in insurance, specialized financing, leasing, asset management, and brokerage, marks a strong comeback for Moroccan businessman Moulay Hafid Elalamy in the Moroccan financial sector.

The Central Bank of Morocco has approved the acquisition of a 57.67% stake in Société Générale's local subsidiary by Saham Finances, the company owned by Moroccan businessman Moulay Hafid Elalamy, according to a report in Le Matin on November 25. This news comes from a notice published in the kingdom's official journal.

The deal, which was first announced in April for a value of €745 million (around $780.4 million), includes around 20 subsidiaries of Société Générale Marocaine de Banques (SGMB). These subsidiaries include EQDOM (a specialized financing company), La Marocaine Vie (an insurance company), Société Générale de Leasing in Morocco, Investima, and several asset management and brokerage entities.

The transaction had already received approval from Morocco's Competition Council in June. It marks a significant return of Moulay Hafid Elalamy to Morocco's financial sector after selling his insurance group to South Africa's Sanlam in 2022.

By acquiring the 57.67% stake held by Société Générale in its Moroccan subsidiary, Saham Finances gains control of a major player in Morocco's banking landscape. SGMB is the country's fifth-largest bank by net banking product (NBP). In 2023, SGMB reported a net banking product of 4.8 billion dirhams ($408.4 million) and a net profit of 1.3 billion dirhams.

This finalization of Société Générale's exit from Morocco is also a key step in the French group's strategic plan to refocus its operations. Société Générale began executing a strategy to divest its African subsidiaries in 2022, with the first two sales finalized in the Republic of Congo (December 2023) and Chad (January 2024). Several other subsidiary sales are currently being finalized across the continent.