Listed non-bank financial services provider, Sanlam Kenya has announced the withdrawal of an earlier posted profit warning notice ahead of its full year results release.
The Nairobi Securities Exchange (NSE) listed firm in regulatory filings and a Public Notice dated 9th February 2017, has withdrawn the Profit Warning Notice earlier issued on 29th December 2016 reflecting the prospect of posting good growth in its yet to be released full year results.
The withdrawal notice, jointly signed by Sanlam Kenya Chairman, Dr. John Simba and Group Chief Executive Officer, Mr. Mugo Kibati attributes the revised position to a reduction in the level of actuarial reserving for its life insurance businesses.
Speaking when he confirmed the new developments, Mr. Kibati said the profit withdrawal notice had also been necessitated by a reduction in the level of impairment provisions; earlier considered for some of the firm’s investments in banking entities.
The Profit Warning withdrawal, Kibati stressed was not based on a change of accounting system or method and had been done with the approval of the Capital Markets Authority.
“The withdrawal has been undertaken based on engagements with the relevant regulatory agencies as part of our corporate governance policies,” Kibati said, adding that, “a review on our life business liabilities and impairment provisions against some of our banking exposures has necessitated this withdrawal and the earlier profit warning is no longer valid.”
The company, he further said, has stepped up the implementation of its robust five-year growth strategy. The strategy last year was headlined by a strategic rebranding process with all the former Pan Africa Insurance Holdings subsidiaries adopting a single identity under the Sanlam brand.
In Africa, the Sanlam Group continues to enjoy pride of place as the single largest non-bank financial services provider with interests in life, general insurance and wealth management solutions among others.
In Kenya, the group is making steady progress with the implementation of its new five-year strategy. Beyond the rebranding programme, the new strategy has also seen a significant transformation for the firm’s life and general insurance business distribution channels, as well as investment in capacity to support accelerated future growth.
Issued by Sanlam Kenya
ABOUT SANLAM KENYA PLC
Sanlam Kenya, formerly Pan Africa Insurance Holdings is a Kenyan incorporated diversified financial services group listed on the Nairobi Securities Exchange. Sanlam Kenya provides a comprehensive suite of financial solutions tailored to meet the distinctive Kenyan market needs. Through its subsidiaries Sanlam Life Insurance Limited, Sanlam Investments Limited, Sanlam General Insurance Limited and Sanlam Securities Limited, Sanlam Kenya is well positioned to meet unique client needs in the Asset Management, General and Life Insurance space. Founded on a rich heritage and good corporate citizenship, Sanlam Kenya currently features a branch network of 34 client experience centres across Kenya’s major towns. The firm enjoys an estimated market share of 8% in the Kenyan life insurance industry, serving over 99,401 policyholders under individual life and more than 236,507 under group life. www.sanlam.co.ke
ABOUT THE SANLAM GROUP
Sanlam is a leading financial services group listed on the JSE Limited and the Namibian Stock Exchange. Established in 1918 as a life insurance company, the South Africa-based Sanlam Group has transformed into a diversified financial services business. Through its business clusters – Sanlam Personal Finance, Sanlam Emerging Markets, Sanlam Investments, Sanlam Corporate and Santam – the Group provides comprehensive and tailored financial solutions to individual and institutional clients across all market segments. The Group’s areas of expertise include insurance, financial planning, retirement, trusts, wills, short-term insurance, asset management, risk management and capital market activities, investment and wealth. The Group operates in East Africa through Kenya, Tanzania, Rwanda and Uganda; Southern Africa through Botswana, Malawi, Mozambique, Namibia, Swaziland, Zimbabwe and Zambia; West Africa via Nigeria and Ghana and in India and Malaysia. It has an indirect presence via associate companies in Burundi, The Gambia and Lesotho. The recently announced acquisition of a 30% interest in Morocco-based Saham Group will further extend the Group’s footprint into an additional 20 countries mostly in Francophone Africa. The Group also has business interests in the United Kingdom, the USA, Australia and the Philippines. It has a stake in leading global micro-insurance specialists, UK-based Micro-Ensure Holdings Limited. For further information, visit www.sanlam.com.
Lilian Onyach Alfred Ng’ang’a
Head of Marketing & Corporate Communications Account Director
Sanlam Kenya Oxygene Public Relations
Phone: +254-726143864 Phone: +254-722799069