African Alliance Shareholders restate support for firm’s recapitalization drive
L-R: Alhaji Ahmed Nahuche, Non-Executive Director; Olabisi Adekola, Executive Director, Finance; Dr Anthony Okocha, Chairman of the Board; Funmi Omo, Managing Director/Chief Executive Officer; Sylva Ogwemoh (SAN), Non-Executive Director all of African Alliance at the firm’s 50th AGM held recently in Uyo.
Shareholders of foremost life insurer, African Alliance, have publicly lent their support to the board and management of the company in their ongoing quest to reposition the firm and be fully recapitalized by the cut-off date as specified by the National Insurance Commission (NAICOM).
This was the takeout from the 50th Annual General Meeting of the firm that held recently in Uyo, Akwa Ibom State.
Presenting the state of the company to the shareholders, according to the statement by firm’s brand, media and communications manager, Bankole Banjo, the Board Chairman, Dr Anthony Okocha, thanked the shareholders for their continuous faith in the business over the years.
“He pointed out that despite the odds, the firm is rapidly on the path to prosperity as evidenced by the improvements in the financial statement. “There is no doubt we are on the rise again, considering where we were before now. In the period under review, our profit after tax decreased from a loss of N6.72b in 2017 to a loss of N2.4bn in 2018. It is important to note that the bulk of these year-on-year losses were technical arising from the drop in interest rates which significantly affected the returns on annuity assets that accounted for 96% of the company’s business portfolio. By the time the 2019 results are released, you would see how your company has turned the bend,” Okocha said.
“He further disclosed that the company’s recapitalization drive involves a combination of strategies including new equity injection by existing and new investors, assets conversion as well as possible merger,” the statement added.
The Managing Director and Chief Executive Officer, Funmi Omo, the statement added, highlighted the major changes the business has undergone as part of its repositioning for growth. “Lately, there has been an aggressive effort towards improving our brand visibility and we have opted to explore the power of technology through digital marketing. Our recent rebranding is a major part of this process and we are already reaping the gains of that exercise in folds,” Omo said.
Continuing, “We have also introduced new products to balance our portfolio and cushion the effect of the accumulated losses the decision on annuity brought on the business while a comprehensive training and retraining plan is being executed in line with the corporate goal to prioritise capacity building and reposition the business to attract the best talents. Within the last two years, skilled and experienced personnel have been employed to bolster our online presence, optimise our website and build a more interactive call centre. I dare say we have the most engaging online presence in the industry,” she concluded.
Recall that recently, African Alliance was rated Bb+ with a ‘stable outlook’ by foremost financial ratings agency in Nigeria, Agusto & co. A publicly quoted life insurance company incorporated in 1960, African Alliance operates out of the corporate headquarters in Ikoyi, Lagos, as well as in 18 branches nationwide.
