Pan Africa Insurance Jumps on Bets Hubris to Increase Stake
The shares rose 9 percent to 39.50 shillings at the close in Nairobi, the strongest level since July 11. The volume of shares traded surged to more than six times the stock’s three- month average, according to data compiled by Bloomberg.
“The stock is being actively traded on anticipation that Sanlam’s decision to raise its stake is likely to happen in the near future,” Francis Mwangi, an analyst at Standard Investment Bank Ltd. in Nairobi, said by phone. “We expect the stake to rise by 10 percent.”
Hubris Holding, a unit of Sanlam, said in a statement April 28 it planned to acquire additional stake.
Sonja Conradie, a member of Sanlam’s external communications team, didn’t immediately respond to a message left on her mobile phone or to e-mailed questions. Kennedy Irungu, Sanlam Kenya portfolio manager, indicated he was not in a position to comment about the transaction, when contacted by phone today.
Sanlam is South Africa’s largest insurer by market value.
To contact the reporter on this story: Johnstone Ole Turana in Nairobi at email@example.com