• About
  • Advertise
  • Write For Us
  • Careers
  • Contact Us
Wednesday, February 20, 2019
No Result
View All Result
NEWSLETTER
Kenyan Wallstreet
16 °c
Nairobi
  • Home
  • Kenyan News
  • African News
  • Global News
  • Opinion and Commentary
  • Events
    • Calendar
  • Home
  • Kenyan News
  • African News
  • Global News
  • Opinion and Commentary
  • Events
    • Calendar
No Result
View All Result
Kenyan Wallstreet
No Result
View All Result

Sanlam Kenya to Pursue its Ksh1.1B Lost Through Corporate Bonds

John Njiru by John Njiru
January 18, 2019
in Kenyan News
Sanlam Kenya to Pursue its Ksh1.1B Lost Through Corporate Bonds

Sanlam Kenya says it will pursue, to the bitter end, recovery of Ksh1.114 billion it lent to various corporates before they were declared insolvent.

Patrick Tumbo, the new regional Sanlam Group’s chief executive, said that a law should be enacted to hold accountable individuals that seek debt through corporate bonds and mismanage the fund.

“People who take money from the public and run away with it, they should be punished severely,” he said during his first meeting with media at the newly opened Sanlam headquarter in Westlands.

In its latest financial book, Sanlam was forced to impair non-performing corporate bonds of Ksh1.114 billion resulting in issuance of profit warning.

Some of the corporate bond investees included Athi River Mining Cement (Under Administration) Kshs 574million, Real People Kshs 398 million and Kaluworks Kshs 169million and unspecified sum in Nakumatt.

With some of the firms protected under the Insolvency Act, pursuing individuals through legal redress seems to be the best option for Sanlam to recover its monies.

Going forward, the underwriter will undertake a lot of diligence in future investments, and this will include temporarily steering away from investing in corporate bonds.

“The commercial paper market is at the lowest confidence time ever due to failings of other private firms going under,” said Mr Tumbo.

The underwriter says it will invest in portfolios not exposed to high risks through its Sanlam Investments EA Limited vehicle, which was created after the acquisition of PineBridge Investments EA.

Mr Tumbo also revealed that full integration of Saham, which it fully acquired in 2018 after it bought the remaining 53.37 per cent stake for $1.1 billion, will be finalised within one-and-a-half years after it received the nod from Competition Authority of Kenya. This includes change of name to Sanlam.

“The integration process is long and very tedious. You do it in a manner that does not cause discomfort to the public and the market shareholders,” added Mr Tumbo.

As part of regulatory requirements and readiness to ensure compliance with the new Insurance Act that provides for Risk Based Compliance, Sanlam Kenya continues to recapitalise both the Sanlam Life and Sanlam General business in readiness to comply with 2020 Risk Based Capital deadline.

“Our CAR (Capital Adequency Ratio) is above 100 per cent, and we are on track to achieve the 200 per cent target,” he added.

The firm is also adoption of an operating strategy focusing on its Life and General insurance businesses following the recent amalgamation of Sanlam Kenya’s former Investments and Asset Management subsidiary (Sanlam Investments Limited) into the new Sanlam Investments East Africa Limited (SIEAL), allowing for dedicated focus on insurance services by the group.

As part of the strategy, the firm has shifted its headquarters and central customer experience centre to the new purpose built Sanlam Towers o provide an all under one roof solution for life and general insurance clients.

Previously, Sanlam Life had been operating from Sanlam House along Kenyatta Avenue and Sanlam General Insurance from Gateway Place along Milimani road, Nairobi, which have now been put in market for sale.


Previous Post

BBOXX Lands US$31 million deal with Africa Infrastructure Investment Managers

Next Post

KCB Among Most Digital Savvy Banks Globally - Survey

Related Posts

Kenya’s Markets Regulator Investigates Businessman Over Insider Trading

CMA Fines Bond Trader Ksh166.9Mn for Insider Trading

February 20, 2019
BRCK Buys Out Kenya’s Second Largest WiFi Provider, Surf

BRCK Buys Out Kenya’s Second Largest WiFi Provider, Surf

February 19, 2019

Ksh10K Penalty for Housing Fund Levy Mismanagement Not a Deterrent – PwC

February 19, 2019

Kenyans Bought More Apartments than Standalones in Q4 2018 – KBA

February 19, 2019

7000 Tuskys staff to receive training and accredited certificates from Riara University

February 19, 2019

High Demand on Short Term Bonds Results in Yield Decline

February 19, 2019

CBK Invites Public to Deliberate on the Draft Mortgage Refinance Companies Regulations, 2019

February 19, 2019

Kenya Should Address Governance Principles if Nairobi International Financial Centre is to Take Shape, and Remain Sustainable – Ocorian Forum

February 18, 2019
Load More
Next Post
KCB, EABL Best Buy-Rated Stocks in Frontier Markets – CITI

KCB Among Most Digital Savvy Banks Globally - Survey

Follow Us

  • 5k Fan
  • 81.8k Follower
  • 246 Subscriber

Featured

How did Safaricom become Kenya’s most successful Telco?

How did Safaricom become Kenya’s most successful Telco?

August 20, 2018
Guest Opinion; How Nairobi Matatus Defied the Will of Kenya’s Cashless Policy Makers

Guest Opinion; How Nairobi Matatus Defied the Will of Kenya’s Cashless Policy Makers

August 3, 2018
Book Review; Money Wise By Rina Hicks

Book Review; Money Wise By Rina Hicks

August 1, 2018
Nyeri Restaurant Betty’s Place is Accepting Bitcoin Payments

Nyeri Restaurant Betty’s Place is Accepting Bitcoin Payments

July 5, 2018

Financial Institutions Seek CBK Approval to Use Blockchain as Regulator Maintains Cryptocurrencies are Risky

May 24, 2018

Upcoming Events

There are no upcoming events.

View Calendar
Add
  • Add to Timely Calendar
  • Add to Google
  • Add to Outlook
  • Add to Apple Calendar
  • Add to other calendar
  • Export to XML

About Us

Kenyan Wall Street specializes in providing the latest and most relevant information on the Kenyan Financial Market enabling you make sound investment decisions

Contact Us

Kenyan Wall Street
Email : info@kenyanwallstreet.com
Website: www.kenyanwallstreet.com

Disclaimer

The information contained in this website is for general information purposes only.
Read more..

  • About
  • Advertise
  • Write For Us
  • Careers
  • Contact Us

© 2018 Kenyan Wall Street.

No Result
View All Result
  • Home
  • Kenyan News
  • African News
  • Global News
  • Briefs & Press Releases
  • Opinion and Commentary
  • Events
    • Calendar

© 2018 Kenyan Wall Street.

Login to your account below

Forgotten Password? Sign Up

Fill the forms bellow to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In