Feb 25 (www.easykobo.com) - Buoyed by the positive feedback it is receiving from Clients, Shareholders and the Capital Market on its internal corporate restructuring measures, the Board of Directors of AIICO Insurance Plc recently announced the proposed absorbtion of AIICO General Insurance company Ltd and AIICO Asset Management Company into AIICO Insurance Plc.
Making this announcement was the Chairman of AIICO Group, Chief (Dr.) Oladele Fajemirokun, at the special AGM to approve the merger of subsidiaries which form the Group. He noted that the merger with subsidiaries will, among others, strengthen the corporate structure through a unified group management.
Chief (Dr.) Fajemirokun added that the merger will allow AIICO Insurance Plc and its subsidiaries to achieve a more efficient utilization of capital and management resources, simplify control and supervision, and allow substantial savings in operating costs.
In particular, the merger is expected to result in the elimination of duplication of overhead expenses previously incurred independently by AIICO General Insurance Company Plc and AIICO Insurance Plc; and lead to improved work efficiencies arising from the concentration of efforts and resources under one operation. There will also be greater convenience for the existing customers of AIICO General Insurance company as they will have access to AIICO Insurance Plc's wide branch network.
AIICO insurance has been the top performer in Easykobo opinion poll conducted to find out "which is the best insurance stock in Nigeria?", AIICO has outperformed its peers in Nigeria by a huge margin by claiming almost 50% of the total votes cast. The company is known for rewarding its shareholders well. In 2010 it awarded a dividend and bonus shares to its existing shareholders. The aiico stock is currently trading at N1, in 2008 this stock touched a high of N7.45 before the financial crisis struck.
