Nairobi, Jan. 11 -- Jubilee Holdings #ticker:JUB plans to expand its life and medical business using the Sh7.7 billion it will receive in its deal with Munich-based insurance giant Allianz SE.
The Nairobi Securities Exchange-listed firm is selling majority stakes of between 51 percent and 66 percent in its short-term insurance units in Kenya, Uganda, Tanzania, Burundi and Mauritius to Allianz.
The company says in a circular to shareholders that it will use the cash raised from the transaction to buy securities and invest more in its life and medical businesses.
"Your board intends to reinvest the proceeds from the sale to accelerate the expansion of its remaining life and medical businesses and invest the balance in financial instruments...