Lockdown results in muted claims environment

PROVIDED BY ANCHOR

SOUTH AFRICA

◆ Santam: The insurance company, in its four-month 2020 operational update, stated the lockdown resulted in a muted claims environment for April, mostly impacting the motor class of business. The conventional insurance business segment achieved a net underwriting margin at the midpoint of the target range of 4 to 8 percent. Santam, which is South Africa’s biggest short-term insurer, said new business growth has slowed significantly. The company has continued to service its policyholders and intermediaries during the crisis, while ensuring the safety of its employees. Almost 80 percent of employees were working from home.

◆ Wilson Bayly Holmes-ovcon (WBHO): The construction company, in its 2020 financial year trading statement, said that other than the Zambian projects, which remained fully operational, and the Kusile Power Station and Saldanha Tank Storage projects, which started work under level 4, all other projects within the building and civil engineering division were suspended for the full duration of the lockdown and returned to work on a phased basis from June 1. Projects in Ghana continued to operate throughout the period. However, most projects in other regions, including South Africa, were suspended for differing lockdown periods. The construction material business was materially affected by the South African lockdown, with revenue expected to be at least 15 percent down compared with the prior year and an operating loss incurred for the year to June 30. WBHO, which is the largest remaining construction firm on the JSE, said it was mulling an unsolicited offer for its Australian business, which helped it survive even as other JSE construction stocks faded.

◆ SA Corporate Real Estate: The real estate investment company referred to its earlier announcement on August 5 last year, wherein it was advised that Rory Mackey would serve as the chief executive of the company for one year. The board has now announced that Mackey’s appointment has been made permanent.

◆ Multichoice: Multichoice said it has invested R50 million to create 500 new jobs for young people.

◆ Grit Real Estate: Mauritius-based Grit Real Estate, which has property interests in several African countries, said it was still aiming for a dividend payment in its year to the end of June that was 72 percent of the previous period.

FOREIGN

◆ Facebook: Facebook has gained a foothold in south-east Asia’s largest economy with an investment in ridehailing company Gojek, Indonesia’s biggest unicorn.

◆ Blackstone: The world’s largest alternative investment firm, Blackstone, has tightened its grip on the crown of world’s largest real estate manager for a fourth consecutive year after property assets controlled by the New York-listed group surged to nearly €250 billion (R4.7 trillion).

◆ HSBC: HSBC has openly supported the national security law China is imposing on Hong Kong, breaking the bank’s silence on the legislation which has been opposed by the UK government.