JUSTUS ONDARI
5/17/2008
Jubilee Holdings Limited has unveiled plans to extend its operations to central and West Africa.
Jubilee, having established a strong position in the East African region, is currently exploring opportunities outside the region where it will replicate its business model.
The company is listed at the stock markets of Kenya, Uganda and Tanzania.
“We are well advanced in identifying target markets and based on the status of current negotiations, we are confident that Jubilee will have extended its geographic footprint within the next few months,” Mr Nizar Juma, the company’s chairman, said Friday.
Good shape
Speaking during its 70th Annual General Meeting, Mr Juma, said the company’s business fundamentals are in a good shape after improvement efforts taken in 2007 to enhance the quality of its insurance portfolio.
“Selective underwriting, pricing discipline and improved operational efficiency has enabled us to achieve superior results in general insurance despite softening market conditions across the region,” he said.
The insurance-based financial firm, which provides insurance cover to more than 125,000 clients across the East African region, has returned impressive results in the past four years.
Coming on the back of a strong growth in Kenya and a sterling general insurance business development in Uganda, the group posted a pre-tax profit of Sh809.6 million in the year ending December 31, 2007 up from Sh642.7 million in 2006, a 26 per cent increase.
During the year under review, the composite insurer’s medical business grew with premiums increasing from Sh929 million in 2006 to Sh1.22 billion last year, representing a 32 per cent growth.
During Friday’s AGM, the group’s shareholders were informed about the company’s future ambitious plans that include a strategic drive in the life insurance business through innovation in distribution, product development and customer service.
The shareholders approved a final dividend of Sh3.25 per share. With an interim dividend of Sh1 per share paid in October last year, the total dividend for 2007 is 85 per cent translating to Sh4.25 per share.
This amounts to Sh191.3 million compared to Sh153 million paid in 2006.
Jubilee Holdings is an affiliate of the Aga Khan Fund for Economic Development, the economic arm of the Aga Khan Development Network.
Ismailimail 