Plans are to be underway to unbundle CFC Stanbic holdings and potentially create more value for investors.
CFCStanbic is the holding company of: CFC Stanbic Bank Limited, CFC Stanbic Financial Services Limited, CFC Life Assurance Limited and The Heritage Insurance Company Limited .
This might be done by CFCStanbic offloading some of its shareholding in Heritage Insurance and CFC Life and listing these as separate entities, or even merging both and lisiting them as a separate general Insurance business.
The group plans to do this by offloading some of their stake to a strategic Investor.
Standard Bank Group the parent of CFCStanbic is the largest South African banking group ranked by assets and earnings and operates a financial services supermarket in South Africa, with interests in Insurance through Liberty Life and could possibly introduce it in Kenya by chopping up CFCStanbic, and reinvesting in them through Liberty Life.
CFC Stanbic was formed in June 2008 out of a merger of Stanbic Bank Kenya and CFC Bank. The entity is now Kenya’s fourth largest bank measured by total assets.
CFCStanbic bank reported a 5 percent rise in pretax profit for the first half of 2009.
While CFC Stanbic Financial Services reported a Sh51 million loss for the first six months of 2009 .
I will closely watch this transaction toas my hodling in this company have been under water for sometime now.
Find here the Cautionary Statement provided by the group MD.
And here for the Half year finacial results released recently.
Fact Sheet on Standard Bank Group.
Note: I hold shares in CFC Stanbic
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