News Column

Britam owners give nod to takeover deal

February 19, 2014

Nation Reporter -1

Britam shareholders have approved a deal that will award Real Insurance owners Sh1.3 billion and considerable stake at the financial services group.

During an extra-ordinary general meeting held on Wednesday at the Kenyatta International Convention Centre, in Nairobi, Britam owners gave their nod to the move to buy the insurer in a cash and share swap deal that will give it an opportunity to expand on the continent.

Real 's primary shareholder is Mr Samson Kamau, who is also the company's chairman.

The other investors include Mr Joe Muchekehu, Mr Edward Njoroge, Mr Ian Mukuria, Mr Morris Wahome and Ms Constance Gakonyo.

Britam will pay Sh825 million in cash and issue new shares each worth not less than Sh11 to the Real's shareholders in exchange of 99 per cent ownership of the firm.

The Britam management is, however, in dilemma on whether to rebrand the company with its identity after the buyout.

"We will make a decision by consulting other partners but we wouldn't expect in long run to manage two separate companies," the firm's managing director, Mr Benson Wairegi (right) said at a press conference after the extra-ordinary general meeting.

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Source: Nation (Kenya)

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