Dec. 3 (Bloomberg) -- FirstRand Ltd., South Africa’s second-biggest financial-services company, said first-half profit will increase by at least 20 percent.
“This is due to the significant gain arising from the unbundling of Momentum,” the Johannesburg-based lender said in a statement today.
FirstRand merged its insurance unit, Momentum Group Ltd., with Metropolitan Holdings Ltd. earlier this year to create the third-biggest listed insurer in South Africa, after Sanlam Ltd. and Old Mutual Plc. Metropolitan subsequently changed its name to MMI Holdings Ltd. and the merged entity has a market value of 25.2 billion rand ($3.7 billion).
FirstRand gained 36 cents, or 1.8 percent, to 20.80 rand in Johannesburg trading, its biggest one-day gain since Nov. 12.
To contact the reporter on this story: Renee Bonorchis in Johannesburg at firstname.lastname@example.org