Mauritius Union Assurance Announces Investment of $30 Million In Kenyan Insurance Sector
MUA Ltd (MUA) has announced today that it is willing to make an investment of up to USD 30 million (over one billion Mauritian Rupees) in the Kenyan insurance sector. This would be the company’s single biggest investment in the country, and comes five years after its initial investment of USD 22 million in this market. MUA has been present in East Africa since 2014, when the group purchased Phoenix TransAfrica Holdings, with controlling shares in its subsidiaries in Kenya, Tanzania, Uganda and Rwanda.
The Kenyan market represents an attractive investment opportunity:
– The World Bank projects GDP growth of 5.8% in 2019 and 6% in 2020.
– Stable macroeconomic environment and robust growth in the services sector.
– Young English-speaking population, with a high rate of computer literacy.
Key facts on MUA Insurance (Kenya) Limited:
– MUA Kenya has inherited its rich history from one of the oldest insurance companies in East
Africa, Phoenix Assurance Company Ltd.
– MUA through its acquisition of Phoenix TransAfrica Holdings in 2014, holds a 66% shareholding
in MUA Insurance (Kenya) Limited.
– A strong focus on digital innovation, with the launch of online travel insurance and accidental
death cover via USSD mobile application.
The announcement was made in the context of a visit by Kenyan business leaders accompanying President Uhuru Kenyatta, at MUA’s Head Office in Port Louis on Thursday. Bertrand Casteres, Group CEO of MUA, “We take the opportunity of President Kenyatta’s visit to Mauritius to announce our willingness to invest up to USD 30 million. This will mark another key milestone in our group’s commitment in this fast-growing region and is a sign of MUA’s confidence in the Kenyan economy and the greater East African region.”
“MUA has been present in Kenya since 2014 and we aim to achieve critical mass and become a key player in this market, like we are in Mauritius. MUA is the largest insurance company listed in the Stock Exchange of Mauritius in terms of market capitalisation. Today East Africa represents about 23% of our turnover. Our aim is to significantly increase that figure over the next 3 years. This investment will strengthen our position in Kenya and ultimately gain market share. We are amongst the top ten general insurance players in Tanzania, Uganda and Rwanda and our focus
now turns to growing our market share in the key Kenyan market.”
Bertrand Casteres insists that MUA can find the right balance between its traditional approach to insurance and positioning itself as a disruptive player in Kenya, offering innovative digital insurance products and services with a strong focus on their retail clients. “The dual potentials of a young population and rapidly moving technology reinforce the region’s ability to leapfrog more traditional insurance markets. We are able to offer solutions for more specialised insurance risks, including cyber risks, coupled with a professional service and holistic approach to risk
assessment. Our extensive local experience means that we can accompany individual clients, SME’s and larger corporations on their insurance journey.”