00:00 Answer Merchant Bank Limited is reporting improved performance in 2023 across all its
00:06 subsidiaries.
00:07 In the banking segment, there was profit before tax of $105 million.
00:14 General insurance they reported just about $53 million.
00:17 Life insurance $37 million.
00:20 There was some intergroup eliminations of $5 million, which brings the group to a profit
00:25 before tax of $201 million.
00:31 Profit after tax amounts to just over $129,000.
00:36 The group is also reporting a compounded annual growth rate of 4.5% in its share price over
00:43 a 10-year period, closing the year at $45.
00:46 However, one shareholder is of the opinion that the share is being undervalued and questioned
00:51 whether more shares will be made available in the future.
00:55 If you look at the substantial interest, you will see Anselm Macall has 82% of the total
01:02 listed capital and the total number of percentages of the company for the 10 largest shareholders
01:13 is 92%.
01:14 So really there's only a small amount of shares really available, 6 million shares.
01:18 So I expect, I suppose that that's probably one of the reasons why there's not too many
01:21 shares that are wrong, but I just was wondering in view of what has transpired, how we get
01:26 a share price up because it's important to get a share price up.
01:28 If it remains that way, then at least in my narrative, shareholders will no longer have
01:33 an interest in being a shareholder.
01:36 In response, Chairman E. Norman Samga seconded the sentiment that the share is undervalued,
01:42 but said this could generate more interest in the shares.
01:46 I think performance dictates the price movement of the share rather than the shareholding
01:54 and our concentration in terms of the shareholding.
01:59 Demand for the share will be driven by the price and it's a good time.
02:04 I think the share is undervalued, so it's a great time to buy.
02:12 Maybe some shareholders recognize that as well and are not prepared to sell, but I do
02:17 believe it's a good time to buy.
02:19 Meantime, the group's insurance portfolio is reporting its highest profit yields yet,
02:24 due in large part to the acquisition of Colfire.
02:27 The group now boasts 25% of the general insurance market in the country.
02:32 I'm pleased to advise that for the first time ever, the insurance sector was able to contribute
02:39 and realize $1 billion in revenues.
02:43 That is an increase of over 40% over the prior year.
02:47 It included Colfire, which was an acquisition that took place in 2023, and I'll tell you
02:51 more about Colfire in a little bit.
02:54 But in addition to that acquisition, it was a significant year for Tata Life, who generated
03:00 highest annualized premium income in the last 10 years.
03:06 Leonardo D'Souza and Ian Nigel Saga were appointed directors at the 46th AGM.
03:12 Renessa Cutting, TV6 News.
03:14 [BLANK_AUDIO]
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