- Shareholders will vote on this plan as a special resolution during the annual general meeting (AGM) set for June 14.
- The decision will take competition at the doorstep of Uganda Re.
- It is not immediately clear if Kenya Re will offload the minority stake in the reinsurer.
Kenya Re is set to open a subsidiary in Uganda, deepening its presence in the East African country.
The board sees this as part of the company’s expansion programme and shareholders will vote on this as a special resolution during the annual general meeting (AGM) set for June 14.
“That the company be and is hereby authorised to establish a subsidiary in Uganda on such terms and conditions as may be determined by the relevant regulatory authorities and the board of directors,” says the firm in its AGM notice.
Directors will also be seeking for shareholders’ nod to determine the conditions upon which the planned subsidiary will be established. If the resolution is passed, the company will seek regulatory approvals to set up the business.
This will deepen its presence in Uganda, having entered that market in 2015 by acquiring five per cent stake in the Uganda Reinsurance Company at Sh20 million. As at end of 2017, Kenya Re had raised its stake to 11.5 per cent in Uganda Re, according to its annual report.