UAP Holdings

UAP Holdings
Public company: OTC[1]
Industry Insurance, financial services
Founded 1920
Headquarters Bishops Garden Towers
Bishops Road
Nairobi, Kenya
Key people
 Peter Mwangi
chief executive officer
Joseph Wanjui
chairman
Products Life and health insurance, investment management, Investment advisory, brokerage, real estate investment trusts
Revenue Increase KES: 12.7 billion (2013)
Increase KES: 2.2 billion (2013)[2]
Total assets KES: 24.6 billion (2012)
Website Homepage

UAP Holdings is an investment, retirement, and insurance group that operates mainly in eastern Africa but has plans to be a pan-African insurance company. UAP Holdings is one of the leading insurance and financial services groups in eastern Africa with a network of branches and operational subsidiaries spread across the greater eastern and central Africa regions.

Overview

The group's headquarters are located in Nairobi, Kenya, with subsidiaries in Kenya, Uganda, South Sudan, Rwanda, Tanzania, the Democratic Republic of Congo, and Mauritius. The Mauritius units are holding companies for the non-Kenyan operations. The flagship company of the group is UAP Insurance Kenya.[3]

History

The Group's origins in Kenya date back to the 1920s when Provincial Insurance Company of East Africa was incorporated as a subsidiary of Provincial Insurance Company, an insurance group based in London, United Kingdom. The 1994 merger of Union des Assurances De Paris (UAP) of France and Provincial of the UK led to the formation of the UAP Insurance Company of Kenya. In 1996, the firm became part of AXA when AXA acquired UAP in France. AXA divested its shareholding in 2000 and the firm became a wholly owned Kenyan company.[4]

UAP Holdings expanded to Uganda in 2005, to South Sudan in 2006, to Rwanda and the Democratic Republic of the Congo in 2011, and to Tanzania in 2013. All entries other than Tanzania were greenfield investments. The group entered Tanzania through the acquisition of Century Insurance Company Limited and re-branded it to UAP Century Insurance Company Limited.[5] In total, UAP has sixteen businesses operating in the region.[6]

On 8 January 2015, Centum and Chris Kirubi announced that they had entered into an agreement with Old Mutual for the sale of their 13.75 percent and 9.58 percent stake in UAP Holdings, respectively, to the London Stock Exchange-listed financial giant in a deal valued at over KES 7 Billion.[7] Once complete, Old Mutual will hold 23.33 percent of UAP Holdings-issued shares and will act as a strategic investor to the group.[8] On 27 January 2015, Kenyan print media reported that Old Mutual had acquired the shares in UAP Holdings previously owned by Abraaj, Africinvest, and Swedfund, amounting to 37.33 percent of total shareholding, for US$155.5 million (KSh14.2 billion), thereby raising Old Mutual's ownership in UAP Holdings to 60.66 percent.[9]

Subsidiaries and associated companies

The companies that comprise the UAP Holdings include, but are not limited, to the following:[10][11]

  1. UAP Insurance Company Limited – Nairobi, Kenya – 100% Shareholding – The flagship company of the group. Offering general insurance.
  2. UAP Life Assurance Limited – Nairobi, Kenya – 100 percent shareholding – Offering life Insurance.
  3. UAP Insurance Uganda Limited – Kampala, Uganda – 53 percent shareholding – Offering general insurance.
  4. UAP Life Assurance Uganda Limted – Kampala, Uganda – 53 percent shareholding – Offering life insurance.[12]
  5. UAP Insurance South Sudan Limited – Juba, South Sudan – 100 percent shareholding – Offering general and life Insurance.
  6. UAP Financial Services Kenya Limited – Nairobi, Kenya – 100 percent shareholding – Offering financial services, investment management, Investment advisory, and brokerage services.
  7. UAP Financial Services Uganda Limited – Kampala, Uganda – 89 percent shareholding – Offering financial services, investment management, advisory and brokerage services.
  8. UAP Investments – Nairobi, Kenya – 100 percent shareholding – Offering unit trusts and pension services.
  9. UAP Properties Uganda Limited – Kampala, Uganda – 79 percent shareholding – real estate.
  10. UAP Properties Kenya Limited – Nairobi, Kenya – 100 percent shareholding – real estate.
  11. UAP Properties South Sudan Limited – Juba, South Sudan – 70 percent shareholding – real estate.
  12. UAP Brokers – Kinshasa, Democratic Republic of Congo – Offering brokerage services.
  13. Union Life Rwanda Ltd – Kigali, Rwanda – 100 percent shareholding – Offering life insurance.
  14. Union Insurance Rwanda Ltd – Kigali, Rwanda – 100 percent sareholding – Offering general insurance.
  15. UAP Century Insurance Company Limited – Dar es Salaam, Tanzania, – 60 percent shareholding – Offering general and life insurance.
  16. UAP Africa Limited – Port Louis, Mauritius – 100 percent shareholding – Holding company for insurance businesses.
  17. UAP Investments – Port Louis, Mauritius – 100 percent shareholding – Holding company for advisory financial service businesses.
  18. UAP Properties – Port Louis, Mauritius – 100 percent shareholding – Holding company for real estate businesses.
  19. UAP Global Services – Port Louis, Mauritius – 100 percent shareholding – Dormant.
  20. UAP Credit Services – Port Louis, Mauritius – 100 percent shareholding – Dormant.

Ownership

The shares of the UAP Holdings are traded over the counter at Dyer & Blair Investment Bank pending future listing on the Nairobi Securities Exchange.[13] As of June 2015 the shareholding of UAP Holdings was as follows:[9]

UAP Holdings Stock Ownership
Rank Name of OwnerPercentage Ownership
1Old Mutual[14] of the United Kingdom 60.66
2 Bawan Limited 20.46
3 James Muguiyi 5.97
4 William Kimutai 1.65
5 Andrew Smith 0.85
6 About 990 Other Local & International Investors[15] 10.41
Total100.00

Governance

UAP Holdings is governed by a fourteen-person board of directors with Joseph B. Wanjui serving as the chairman of the group and Peter Mwangi as the chief executive officer.

Merger

In June 2015, shareholders of UAP Holdings agreed to merge with the parent company's other businesses in Kenya, to create a single entity that is referred to as UAP-Old Mutual Group. The combined company is expected to list its shares on the Nairobi Securities Exchange.[16] In June 2015, Peter Mwangi was appointed chief executive officer of the UAP-Old Mutual Group.[17] Joe B. Wanjui, the former chairman of UAP Holdings, will assume the role of chairman of the new UAP-Old Mutual Group.[18]

Building

Main article: UAP Tower

UAP Holding is set to open UAP Tower, a 33-storey office complex in Nairobi's Upper Hill district.[19] UAP Tower is set to becoming the tallest structure in eastern and central Africa upon its completion in 2015. The building was financed through private equity to a tune of about KSH 4 Billion.[20]

See also

References

  1. ↑ UAP new shares start trade over the counter
  2. ↑ UAP Holdings Press Release – 28 March 2014
  3. ↑ "UAP » Subsidiaries". UAP Holdings. Retrieved 31 December 2014.
  4. ↑ UAPH (2014). "About UAP: History". UAP Holdings (UAPH). Retrieved 31 December 2014.
  5. ↑ UAPH (6 June 2006). "UAP Enters Tanzania Market". UAP Holdings (UAPH). Retrieved 31 December 2014.
  6. ↑ UAPH (31 December 2013). "UAP Holdings 2013 Annual Review" (PDF). UAP Holdings (UAPH). Retrieved 31 December 2014.
  7. ↑ Juma, Victor (9 January 2015). "Kirubi earns Sh2.8 billion from sale of UAP Holdings stake". Business Daily Africa. Nairobi. Retrieved 9 January 2015.
  8. ↑ "Sale of Shares in UAP Holdings Limited by Centum Investment Company Limited and a Related Party". Centum Investment Company Limited. 8 January 2015. Retrieved 9 January 2015.
  9. 1 2 Juma, Victor (27 January 2015). "Old Mutual raises stake in UAP after Sh14bn buyout". Business Daily Africa (Nairobi). Retrieved 27 January 2015.
  10. ↑ "UAP Holdings Limited 2012 Annual Report" (PDF). UAP Holdings Limited. 31 December 2012. p. 94. Retrieved 31 December 2014.
  11. ↑ "UAP Holdings Limited - Abridged Prospectus for Public Offer" (PDF). UAP Holdings Limited. 2012-11-07. p. 6. Retrieved 31 December 2014.
  12. ↑ IRAU (January 2015). "List of Licensed Insurance Companies In Uganda". Insurance Regulatory Authority of Uganda (IRAU). Retrieved 26 January 2015.
  13. ↑ Gichane, Charles (9 January 2013). "UAP begins trading of new shares". 98.4 Capital FM. Retrieved 31 December 2014.
  14. ↑ Wambu, Wainaina (16 June 2015). "Old Mutual gets approval to acquire UAP Holdings stake". Business Daily Africa. Nairobi. Retrieved 1 July 2015.
  15. ↑ Gachiri, John (22 June 2015). "UAP, Old Mutual agree on merger ahead of listing". Business Daily Africa. Nairobi. Retrieved 1 July 2015.
  16. ↑ Gachiri, John (22 June 2015). "UAP Holdings, Old Mutual merger firm to list on NSE". Business Daily Africa. Nairobi. Retrieved 1 July 2015.
  17. ↑ Juma, Victor (30 June 2015). "Former NSE chief Mwangi to head UAP-Old Mutual". Business Daily Africa. Nairobi. Retrieved 1 July 2015.
  18. ↑ Juma, Victor (3 July 2015). "Old Mutual snub returns to haunt UAP chief executive". Business Daily Africa. Nairobi. Retrieved 3 July 2015.
  19. ↑ "About UAP Tower". UAP Holdings. 26 June 2014. Retrieved 2015-09-02.
  20. ↑ Andeso, Albert (26 June 2014). "UAP Tower soars into Nairobi's skyline". Construction Kenya. Retrieved 2015-09-02.

External links

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