Business
Britam weighs move to cross-list
Publish Date: Mar 08, 2014
Britam weighs move to cross-list
Stock brokers trading. On Tuesday, the Uganda stock market overall traded value improved significantly to sh486m
  • mail
  • img
newvision

By Samuel Sanya and David Mugabe

BRITAM top executives have signaled the likelihood of the company cross-listing on the Ugandan share markets following new regulatory requirements for separate life and general insurance licenses. 

A definite date has not been set though. Benson Wairegi, the Britam group boss, noted that the company took over Kenyan Insurance firm – Real Insurance, as part of an ambitious expansion plan into Tanzania and the wider African market. 

He noted that the firm is open to similar acquisitions within Uganda to boost its expansion and growth plans. 

“When the circumstances justify, we will cross list. It is something we are discussing at board level. As and when opportuni¬ties arise, we shall take up any acquisition opportunities that arise,” Wairegi told reporters at the Kampala Serena Hotel. 

Britam listed on the Nairobi Securities Exchange (NSE) in 2011 and has an asset base in excess of $301m (sh753b) with brand equity value in excess of $69.6m (sh174b). 

Top shareholders of Britam include Wairegi, Equity Bank Group boss James Mwangi, prominent Kenyan businessmen Jimnah Mbaru and Peter Munga and Mauritian national Dawood Rawat.

Wairegi introduced the new Britam Uganda boss, Allan Mafabi, who replaces David Kuria. 

Mafabi noted that the firm is looking to utilise the current mobile payments trend to grow sector penetration beyond the current 0.66% of GDP. 

USE turnover improves

On Tuesday, the Uganda Stock Exchange (USE) market’s overall traded value improved significantly to sh486m follow¬ing block sales on the Umeme counter compared to last week’s overall turnover of sh13.4m.

Umeme sold 1,160,888 shares bringing in sh441m in turnover - the largest trade of the day at an improved share price of sh380.

In the previous Tuesday trading session, Umeme sold 7,700 shares at an average price of sh365, picking sh2.8m in turnover.

Tuesday’s overall traded volume was 2,651,650 - a rise from last Tuesday’s 18,600 sold shares.

The ever dominant and active Stanbic Bank sold 1,477,616 shares to realise sh44m in turnover selling at an average of sh30 per share. In the previous comparative session, Stanbic Bank did not trade.

BATU and New Vision did not trade on Tuesday. 

Volumes have edged up slightly with demand for Stanbic shares remaining strong at over 34 million shares on the day compared to offers of just over four million shares.

Demand for listed companies is expected to rise according to market analysis from Crested Stocks and Securities as more companies edge towards declaring their financial statements. A few companies have already released their results, although overall market reaction has been slow.

Only four companies traded on Tuesday. Uganda Clays (UCL) sold 12,726 shares, making sh318,150 in value. The other active company was dfcu Bank that sold 420 shares to realise sh499,800 in turnover. dfcu traded at an average price of sh1190, while UCL sold at a weighted average of sh25 per share.

There was also fairly strong demand on the NIC and UCL shares.

The statements, comments, or opinions expressed through the use of New Vision Online are those of their respective authors, who are solely responsible for them, and do not necessarily represent the views held by the staff and management of New Vision Online.

New Vision Online reserves the right to moderate, publish or delete a post without warning or consultation with the author.Find out why we moderate comments. For any questions please contact digital@newvision.co.ug

  • mail
  • img
blog comments powered by Disqus
Also In This Section
Security to be improved at Entebbe International Airport
By Billy Rwothungeyo Why do you have to hop out of your car to have a hand metal detector pressed against your body just before entering Entebbe International Airport? Why should you not drive through hustle free straight to the departures gate at Entebbe?...
National Water, Entebbe Municipality scoop procurement award
National Water and Sewerage Corporation (NWSC) and Entebbe Municipal Council have been recognized as the most efficient Public Procuring and Disposing Entities (PDEs) of the 2013/2014 financial year....
Yiiya Ssente forum: Past participants to share testimonies
Participants who attended previous Yiiya Ssente forums will have a chance to share their experiences with other people who will attend this year’s forum at Kololo Airstrip on Saturday....
Kalagala Nkozi farmers launch a Cooperative Society
A new farmers’ Cooperative society was yesterday opened in Mpigi district, to provide financially and technical skills to farmers....
Museveni tips soft-drink companies to use locally produced fruits
President Yoweri Museveni advises soft-drink companies like Coca-Cola and Pepsi to process locally produced fruits in order to cut down on some costs....
Make mobile banking relevant to poor
State minister for Microfinance Caroline Amali Okao has challenged digital financial services providers that their target of adding 550,000 active users by the end of this year might not succeed unless they come up with innovations that will benefit the local users...
Do you think government is doing enough to contain the typhoid out break?
Yes
No
Can't Say
follow us
subscribe to our news letter