KNYA – Financial services and property holding company Liberty Holdings of South Africa plans to increase its ownership in Liberty Kenya from 57% to 73%, furthering its dominant position in the firm.
The insurer, which is also the largest shareholder in Liberty Kenya, plans to acquire additional 49.5 million ordinary shares of the listed insurer from KFAMF Sellers and 34.7 million ordinary shares from Coronation Sellers.
Liberty Holdings owns 309.33 million ordinary shares in Liberty Kenya, equivalent to 57.7% of the company. By purchasing an additional 84.24 million shares, the South African firm will increase its ownership in Liberty Kenya from 57.7% to 73.5%.
According to a public notice issued by Liberty holdings, the company intends to purchase the ordinary shares through a private transaction.
“By purchasing an additional 84.24 million shares, the South African company will increase its ownership in Liberty Kenya from 57.7% to 73.5%”
The South African company has applied to the Kenya’s Capital Markets Authority for approval to conduct the transaction.
Liberty Holdings entered into a sale of shares agreement with KFAMF Sellers and Coronation Sellers on March 4, 2021, and each of the sellers accepted Liberty’s offer to acquire the ordinary shares at a cost of US$0.1 per share.
Liberty Holdings said that it does not plan to acquire 100% ownership in Liberty Kenya and that the stock will continue trading at the Nairobi Securities Exchange after the partial acquisition.
The deal is subject to regulatory approval from all relevant authorities.
Liberty Kenya Holdings Plc is the holding company for The Heritage Insurance Company Kenya Ltd and Liberty Life Assurance Kenya Ltd.
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