Standard Alliance to offset N13bn negative retained earrings
… set to raise fresh funds, pay dividend for 2019
Standard Assurance Insurance Company Plc has said that it plans to raise fresh funds from the capital market.
The insurance firm has, therefore, appealed to stakeholders to render support whenever they are called upon to do so.
The company disclosed that its negative N13 billion retained earnings has continued to frustrate efforts of paying dividend , and that the proposed share reconstruction and capital raising are all aimed at toward repositioning the company for profitability and dividend payment.
Chief Executive officer, Standard Alliance Insurance, Mr. Bode Akinboye made the disclosure while rendering the company’s ‘Facts behind the Figures’ at the NSE, Lagos, promising that the company is working towards recommencing dividend payment for the 2019 financial year.
Akinbode said that the company is committed to reducing deficit in its balance sheet to free accumulated losses and positioned to resume payment of dividend to shareholders. Adding:“We will approach the market to recapitalise.”
He said that by 2019, payment of dividend would resume having wiped out negative reserves and returned to profitability”
The CEO said that the company is boosting its revenue generating businesses to enhance profitability, such as agriculture insurance, retail insurance , annuity and Salary protection insurance Scheme (SPIS), among others.
He said that company’s strategies are tied to ensuring prompt claims settlement, adding that between 2015 and 2017 first half, a total of N8.2bn claims has been paid.
Out of the claims, N2.1bn was expended on none life insurance, while Life gulped N6.1 billion settled claims.
The Standard Insurance CEO said that his company is committed to implementation of its digital transformation initiatives, capital investments on new underwriting and business management, as well as setting up strategies digital channels platforms to roll out its health insurance products with Unsure.
Bonny Amadi
