Sanlam stocks rally on promising Ksh.243.7 billion merger deal with Allianz
Sanlam Kenya PLC stocks rallied Friday on the Nairobi Securities Exchange (NSE) to trade Ksh.12.9 per share from Ksh.12.05 Thursday.
Speculation in Sanlam shares is anchored on a deal which Sanlam Group’s signed with Allianz (Germany-based) mid this week.
The Ksh.243.7 billion deal with Allianz is for their current and future operations across Africa to create one giant entity.
It will create the largest Pan-African non-banking financial services entity on the continent.
Sanlam Group CEO Paul Hanratty said that the entity will aim to combine Sanlam’s understanding of the African market with Allianz’s global reach and insurance solutions to increase life and general insurance penetration, accelerate product innovation and drive financial inclusion in high-growth African markets.
“In accordance with our enterprise strategy to expand our leadership position through scale and new partnership models, Allianz is pleased to accelerate its growth in this important region through a partnership with the undisputed market leader,” said Hanratty
The joint venture will operate in 29 countries and its customers within these markets will benefit from the expertise and financial strength of the two
Sanlam emerged third among top five gainers on the bourse after East Africa Cables limited-top after it gained 10 percent to trade Ksh.1.1 per share.
Liberty Kenya Holdings followed with 9.02 percent, to sell at Ksh.5.8 per share. Uchumi Supermarket traded Ksh.0.19 per share, a 5.56 percent gain.
Crown Paints ended the day with 2.91 percent up to close at Ksh.40.7.
British Oxygen Company (B.O.C) Kenya sank 7.41 percent to close at Ksh.75 per share.
Trans-Century PLC shed 5.17 percent to sell at Ksh.1.1, while Carbacid Investments PLC shed 4.6 percent to trade Ksh.11.4 per share.
WPP Scangroup plunged 2.93 percent, to settle at Ksh.3.64
Telecommunication firm Safaricom PLC dropped 2.88 percent to close at Ksh.32 traded shares.
Safaricom, however, was the day’s biggest mover with over Ksh.19.1 million shares while NCBA Group and East Africa Breweries Limited (EABL) moved about Ksh.1.3 million shares each respectively.
Energy distributor Kenya Power recorded more than Ksh.300,000 shares.
At the same time, WPP Scangroup closed the day to move Ksh.191,000 in traded shares.