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Tag: Consolidated Hallmark

  • Consolidated Hallmark Regional Director gets Rotary job

    Consolidated Hallmark Regional Director gets Rotary job

    The Regional Director, Eastern Operations of Consolidated Hallmark Insurance, Mrs. Ijeoma Pearl Okoro, has been appointed as a member of the Board of Trustees (BoT) of Rotary Foundation in Evaston, Illinois, the United States.

    The Trustees of Rotary Foundation manage the Foundation, the charitable arm of Rotary.

    Mrs. Okoro, the only Nigerian and African elected to the board, will serve for a four-year term.

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    Speaking during a send off by Consolidated Hallmark for her in Port Harcourt, the Rivers State capital, the Managing Director/CEO of the company, Mrs. Mary Adeyanju expressed appreciation to Mrs. Okoro for her contributions to the company not only in the East where she served as a director, but also in other spheres of operations.

    Mrs. Okoro has 30 years’ experience in the insurance industry, 17 of which was spent in Consolidated Hallmark Insurance where she played prominent roles in transformation, market development, and management processes.

    She holds a bachelor’s degree in theatre, a postgraduate in management. She also studied at the Lagos Business School.

  • Consolidated Hallmark lists 1.13b private placement shares

    Consolidated Hallmark Insurance (CHI) Plc yesterday formally concluded its N734.5 million private placement deal with the listing of 1.13 billion ordinary shares of 50 kobo each that arose from the placement.

    The additional listing at the Nigerian Stock Exchange (NSE) increased the total issued and fully paid up shares of CHI from 7.0 billion to 8.13 billion ordinary shares of 50 kobo each. CHI’s share price rose by 6.90 per cent to 31 kobo yesterday at the NSE.

    The Nation had exclusively on Monday reported that the Niger Delta Exploration & Production (NDEP) Plc had acquired about 14 per cent equity stake in CHI under a private placement deal. The NDEP is an integrated oil and gas investment company quoted on the NASD OTC Securities Exchange. With investments in downstream, midstream and upstream assets, the CHI deal was believed to be the first direct investment by NDEP in insurance sector.

    Under the special-purpose private placement deal, NDEP acquired 1.13 billion ordinary shares of 50 each of CHI at 65 kobo per share. The offer price represented a significant premium for CHI, which had closed at the weekend at 29 kobo per share.

    A market source said the deal comes with synergies for the two companies with NDEP’s shareholding providing CHI with increased access to the lucrative oil and gas insurance business.

    Shareholders of CHI had earlier authorised the board of the company to undertake the N734.5 million private placement. To create headroom for the deal, shareholders had increased the authorised share capital of the company by creating additional 5.0 billion new ordinary shares of 50 kobo each. The authorised share capital was increased from  N5 billion of 10 billion ordinary shares of 50 kobo each to N7.5 billion made up of 15 billion ordinary shares of 50 kobo each.

    CHI has been raising additional equity funds to strengthen its balance sheet in a proactive step aimed at positioning the company on a good footing in the event of much-expected recapitalisation and consolidation of the insurance sector.

    It had successfully raised N500 million new equity funds from its shareholders in the fourth quarter of 2017. The company offered 1.0 billion ordinary shares of 50 kobo each to existing shareholders at a price of 50 kobo per share. The rights issue was pre-allotted on the basis of one new ordinary share for every six ordinary shares held as at the close of business on Monday August 28, 2017. Application list for the rights issue opened on Monday, October 16 and ran till Wednesday, November 22, 2017.

    Most analysts believed that the increasing capital raising exercises by insurance companies were proactive steps ahead of envisaged consolidation of the sector, despite the recent cancellation of a new capital structure proposed by the National Insurance Commission (NAICOM).

     

  • NDEP acquires major stake in Consolidated Hallmark

    Niger Delta Exploration & Production (NDEP) Plc  has acquired about 14 per cent equity in Consolidated Hallmark Insurance (CHI) Plc, a major shareholding change that may affect the composition of the board of the insurance firm.

    A regulatory document obtained at the weekend indicated that CHI has received regulatory approval to close a N734.5 million private placement deal with NDEP,  an integrated oil and gas investment company quoted on the NASD OTC Securities Exchange. With investments in downstream, midstream and upstream assets, the CHI deal is believed to be the first direct investment by NDEP in insurance sector.

    Under the special-purpose private placement deal, NDEP is acquiring 1.13 billion ordinary shares of 50 each of CHI at 65 kobo per share. The offer price represents a significant premium for CHI, which closed at the weekend at 29 kobo per share.

    CHI currently has total issued share capital of 7.0 billion ordinary shares of 50 kobo each. Post-private placement share capital will be 8.13 billion ordinary shares of 50 kobo each, giving NDEP 13.9 per cent equity stake.

    A market source said the deal comes with synergies for the two companies with NDEP’s shareholding providing CHI with increased access to the lucrative oil and gas insurance business.

    CHI’s shareholders had earlier authorised the board of the company to undertake the N734.5 million private placement. To create headroom for the deal, shareholders had increased the authorised share capital of the company by creating additional 5.0 billion new ordinary shares of 50 kobo each. The authorised share capital was increased from  N5 billion of 10 billion ordinary shares of 50 kobo each to N7.5 billion made up of 15 billion ordinary shares of 50 kobo each.

    CHI has been raising additional equity funds to strengthen its balance sheet in a proactive step aimed at positioning the company on a good footing in the event of much-expected recapitalisation and consolidation of the insurance sector.

    It had successfully raised N500 million new equity funds from its shareholders in the fourth quarter of 2017. The company offered 1.0 billion ordinary shares of 50 kobo each to existing shareholders at a price of 50 kobo per share. The rights issue was pre-allotted on the basis of one new ordinary share for every six ordinary shares held as at the close of business on Monday August 28, 2017. Application list for the rights issue opened on Monday, October 16 and ran till Wednesday, November 22, 2017.

    Most analysts believed that the increasing capital raising exercises by insurance companies were proactive steps ahead of envisaged consolidation of the sector, despite the recent cancellation of a new capital structure proposed by the National Insurance Commission (NAICOM).

    Under the cancelled NAICOM’s tier-based minimum solvency capital policy, insurers were to be classified into three tiers according to the minimum capital base and risk-bearing capacity. Tier 1 insurance companies were to be required to have minimum capital base of N9 billion for general insurance and N6 billion for life insurance, implying a composite capital base of N15 billion. Tier 2 companies were to be divided into two categories, with N4.5 billion minimum capital base for general insurance and N3 billion for life assurance. Thus a composite insurance-general and life insurance, would have been required to have minimum capital base of N7.5 billion. Tier 3 companies would continue to operate on the existing minimum capital base of N3 billion for general insurance and N2 billion for life insurance, implying a composite capital base of N5 billion for a composite tier 3 insurance company.

    Under the risk-based capitalisation approach, tier 1 companies will be able to undertake all risks including annuity and high-level special risks such as energy and aviation risks. Tier 2 companies will undertake retail insurance as prescribed under Tier 1, including commercial and industrial risks and group life assurance while tier 3 companies will only be able to write retail insurance only including micro insurance, motor, fire, agriculture, compulsory liability insurances, individual life, health and miscellaneous insurance.

  • Consolidated Hallmark holds EGM Nov. 28

    Arrangements have been concluded by Consolidated Hallmark Insurance (CHI) Plc to hold its Extraordinary General Meeting (EGM) on Wednesday, November 28.

    In a  statement, the company stated that at the EGM, scheduled to hold at the Westwood Hotel, Ikoyi, Lagos, shareholders would seek aproval for the increase in authorised shares of the company from 10 billion units of 50 Kobo par value per share to 15 billion.

    According to the statement, this would be done through the creation of more five billion units.

    Based on this, the share capital of the company will be increased from N5 billion to N7.5 billion.

    Shareholders will also at the meeting formally give their approval for additional capital rise through private placement of 1.13 billion units at the price of 65 Kobo per share.

    The private placement is expected to bring in an additional N734.5 million to the coffers of the company.

    It is next in the series of proactive efforts of the Board and Management to boost the working capital of the company and adequately position it as a leading player in the underwriting of big ticket insurance transactions, having successfully raised N500 million through the rights Issue to existing shareholders of 1 billion units that was 108 per cent subscribed during the last quarter of 2017 but concluded in the first quarter of 2018.

    The company’s Managing Director, Mr. Eddie Efekoha, who is also Chartered Insurance Institute of Nigeria President, said he is optimistic of a very successful outing at the meeting as shareholders of the company have often been delighted with the regular dividend payments over the years.

    He said: “Out of 10 financial years that the company has been quoted on the NSE, it has paid out dividends seven times amounting to a total of N1.22 billion. Also, the deployment of capital raised during the rights Issue is impacting positively in results as noticeable in the impressive performance during the nine months ended 30th September 2018.

    “Profit After Tax rose significantly to N356 million from the N209 million recorded during the corresponding period of 2017 while Gross Premium Income rose to N5.4billion from the previous N4.5bilion.

    “CHI Plc has also been consistent in promptly meeting its claims payment obligations to customers. Over N11.7 billion has been expended on claims in the last five years (from 2014 to September 2018). Of this amount, over N4billion has been paid in 2018 alone”, he noted.

  • Consolidated Hallmark seeks approval for N734.5m private placement

    The board of Consolidated Hallmark Insurance Plc has scheduled an extraordinary general meeting of shareholders of the insurance company to consider and approve a private placement aimed at raising about N734.5 million.

    Shareholders are expected to meet by this month end to consider increase in authorised share capital of the company by creation of additional 5.0 billion new ordinary shares of 50 kobo each. Consolidated Hallmark Insurance currently has authorised share capital of N5 billion, consisting of 10 billion ordinary shares of 50 kobo each.

    According to a regulatory filing at the Nigerian Stock Exchange (NSE), the meeting is expected to increase the authorised share capital of the company to N7.5 billion, made up of 15 billion ordinary shares of 50 kobo each.

    Shareholders are thereafter expected to authorise the board of directors to undertake issuance of 1.13 billion ordinary shares of 50 kobo each at 65 kobo per share to raise new equity funds totaling N734.5 million through a private placement.

    Consolidated Hallmark Insurance has been raising additional equity funds to strengthen its balance sheet in a proactive step aimed at positioning the company on a good footing in the event of much-expected recapitalisation and consolidation of the insurance sector.

    It had successfully raised N500 million new equity funds from its shareholders in the fourth quarter of 2017. The company offered 1.0 billion ordinary shares of 50 kobo each to existing shareholders at a price of 50 kobo per share. The rights issue was pre-allotted on the basis of one new ordinary share for every six ordinary shares held as at the close of business on Monday August 28, 2017. Application list for the rights issue opened on Monday, October 16 and ran till Wednesday, November 22, 2017.

     

  • Consolidated Hallmark Q3 profit up 120%

    Consolidated Hallmark Insurance (CHI) Plc, has recorded a 120 per cent growth in its Profit After Tax for the third quarter ended last September 30, when compared with the corresponding period in the preceeding financial year.

    The unaudited results, which have been presented to shareholders by the Nigerian Stock Exchange, showed that  Profit After Tax rose from N176.78 million during the nine months ended September 2014, to N389.74 million, this year.

    The firm also recorded an improvement in its gross premium income during the period under review, having increased revenue in this area from N3.87 billion to N4.93 billion, despite the increasing competition in the industry and difficult operating terrain.

    Further details of the result revealed a 64 per cent growth in underwriting profit, as it posted N1. 25 billion when compared with N768. 3 for the third quarter ended 30th September, 2014.

    CHI Managing Director, Eddie Efekoha,  attributed the modest results to high premium the firm has continued to place on customer service and the attention given to prompt claims settlement.

    The amount expended on claims by the company during the period rose to N902.2 million from N826.14 million spent during the corresponding period in 2014.

    Efekoha said the firm is desirous of maintaining excellent customer service reputation, as it  currently leverages on technology to ensure seamless transactions through the deployment of e-payment channels, whilst also engaging more with numerous customers through the social media platforms.