he transactions involving S14 million investment in Leadway Assurance by the International Finance Corporation, IFC, has been concluded.
This was disclosed to the magazine recently in Lagos by Oye Hassan Odukale, managing director, Leadway Assurance, at the company’s 36th annual general meeting, where Jeemy Rowse, nominee of IFC on Leadway board, was in attendance.
Speaking on the new development, Hassan Odukale said, “Rowse has over 24 years’ experience in the insurance industry, particularly as a life insurance specialist, and he brings his wealth of experience to the board of directors of Leadway Assurance”.
IFC’s investment was part of the recapitalization plan of Leadway Assurance during the last exercise embarked upon by the insurance industry. In addition to the investment, Leadway Assurance combined its business strength with that of Atlantic Insurance, a medium-sized insurance company.
Beyond recapitalization, Hassan Odukale explained that the company’s objective is to increase capacity for larger risks and provide services for which its brand is known while ensuing that its value in being a world respected company is enhanced.
He said, “we do this by constantly reviewing our structures, products and services and by entering into network alliances with large international insurers and reinsurers to provide and deliver services, especially in places where we or they do not have business presence”.
Despite last year’s recapitalization challenges, Leadway’s gross premium income increased from N4.5 billion in 2005 to N4.5 billion in 2005 to N5.7 billion in 2006. The value of shareholders’ fund increased from N4.8 billion in 2005 to N9.4 billion in 2006. Total assets of the company rose from N10.2 billion in 2005 to N16.4 billion in 2006.
Fresh Post-consolidation Strategy for Niger Insurance
In its determination to plan effectively for the post-consolidation era, Niger Insurance has embarked on branch expansion. According to Clinton Uranta, managing director of the company, its branch network has extended to Enugu, Yenogoa, Akure and Port Harcourt.
Uranta, who said that Niger Insurance is striving hard to meet the expectations of its shareholders disclosed that its shareholders funds rose from N2.1 billion in 2005 to N5.5 billion in 2006.
The gross premium income also rose from N2.3 billion to N3.1 billion while total assets went up from N8.5 billion to N11.2 billion during the period under review.
Having successfully recapitalized, Uranta disclosed that the company’s major focus is now strategic alliance, expansion of branch network and human capital development.
