Sanlam #ticker:PAFR has invested an additional Sh121.7 million in Gateway Insurance, which it renamed Sanlam General, raising its total investment in the subsidiary to Sh1 billion.
The Nairobi Securities Exchange-listed firm says the latest investment left its ownership in the general insurance unit unchanged at 67.64 per cent since minority shareholders provided their share of capital.
“In 2017 Sanlam Kenya made additional investments of Sh121,792,000 in Sanlam General while minority interests made additional investments of Sh66,521,000,” the company says in its latest annual report.
“There was no change in the shareholding structure as a result of the investments.”
Sanlam states its capital commitment in the unit at Sh496.6 million, having written off more than half of the value of the investment on the back of the subsidiary’s weaker-than-expected performance.
The company started buying shares of Gateway in 2015 to re-enter the general insurance market which it exited in 2011.