Old Mutual expands its East African presence

RNS Number : 7610B

Old Mutual PLC

09 January 2015

 



Old Mutual plc

Ref 01/15

9 January 2015

Old mutual expands its East african presence

Old Mutual plc ("Old Mutual" or "the Group") today announces that it has taken a 23.3% stake in UAP Holdings Limited ("UAP"), an East and Central African financial services company with a presence in 6 countries, for KES 8.88 billion (USD 97.6 million). The consideration will be paid in cash and will be funded from existing Group resources.

In Kenya, UAP has the third largest Property & Casualty ("P&C") market share; the second largest health insurance business; a substantial property investment portfolio and a fast growing life insurance business. It has established and diverse distribution networks including via brokers; an agency force; direct sales; bancassurance; digital; and via supermarkets.

In Uganda, it has the second largest P&C and health insurance businesses, and the third largest life business. It also has P&C businesses in Rwanda, Tanzania and South Sudan, and a brokerage business in the Democratic Republic of the Congo.

Ralph Mupita, Chief Executive of Old Mutual Emerging Markets, said: "This investment is another significant step in delivering the Group's aim of becoming an African financial services champion. UAP is an ideal and complementary fit to our existing Kenyan businesses and we look forward to deepening and broadening our relationship in the future."

In Kenya, Old Mutual serves more than 500,000 customers through its activities in life insurance, asset management and micro-finance.

Enquiries

External communications

Patrick Bowes                           UK        [phone]

Investor relations

Dominic Lagan                           UK        [phone]

Sizwe Ndlovu                             SA        [phone]

Media

William Baldwin-Charles                         [phone]

                                                            [phone]

Notes to Editors

Old Mutual provides investment, savings, insurance and banking services to more than 16 million customers in Africa, the Americas, Asia and Europe. Originating in South Africa in 1845, Old Mutual has been listed on the London and Johannesburg Stock Exchanges, among others, since 1999.

In the year ended 31 December 2013, the Group reported adjusted operating profit before tax of £1.6 billion (on an IFRS basis) and had £294 billion of funds under management from core operations.

For further information on Old Mutual plc, please visit the corporate website at www.oldmutual.com 

For further information on UAP, please visit the corporate website at www.uap-group.com

 

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