African Alliance Shareholders Restates Support for Recapitalisation Drive

Shareholders of the African Alliance Plc have pledged their support to the board and management of the company in the ongoing quest to reposition the firm and scale the recapitalisation hurdle specified by the National Insurance Commission (NAICOM).

The shareholders gave the support at the 50th annual general meeting (AGM) of the company held recently in Uyo, Akwa Ibom State.

Speaking to the shareholders the Chairman of the company, Dr Anthony Okocha, thanked the shareholders for their continuous faith in the business over the years.

According to him, despite the odds, the firm was rapidly on the path to prosperity as evidenced by the improvement in its financial statement.

“There is no doubt we are on the rise again, considering where we were before now. In the period under review, our loss from N6.72 billion in 2017 to a loss of N2.4 billion 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 per cent 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 recapitalisation drive involves a combination of strategies including new equity injection by existing and new investors, assets conversion as well as possible merger.

Also speaking, the Managing Director and Chief Executive Officer, Funmi Omo, 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,” she said.

According to her, they have also introduced new products to balance their 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 said.