The company’s market capitalisation –the measure of investor wealth—has now risen by Sh18.7 billion to Sh50.3 billion over the three weeks as a result of the share price rally.

Analysts said that the counter has seen speculative trading by local investors attracted by the announcement earlier this year that the company is cleaning up its balance sheet by paying down accumulated losses of Sh5.88 billion.

The Company Act bars an institution from paying dividends if it has accumulated losses.

“There is no special market action driving the rally, other than the balance sheet cleanup that has some investors seeing the prospect of resumption of dividend payments. The demand has come from local investors, particularly fund managers,” said Melody Ndanu, a research analyst at Standard Investment Bank.

Britam shareholders approved a resolution to use part of its share premium of Sh13.2 billion to clear the accumulated losses during the firm’s annual general meeting in May, clearing the way for a resumption of dividend payments.

Share premium represents the excess amount paid by investors for newly issued shares above their par value. Reduction in share premium does not affect the shareholding of a company or its equity position.

Before dipping into the premium, Britam had been relying on dividends from its subsidiaries to cut back the accumulated losses over five years, given that it is not an operating entity.

Britam operates life assurance, general insurance and asset management in seven countries, including Kenya, Rwanda, Uganda, Tanzania, South Sudan, Mozambique and Malawi.

The company has now gone for six years without paying dividends, but its managing director, Tom Gitogo, said in March that clearing the accumulated losses would open the door to a payout this year, possibly an interim dividend. The company reported a 10 percent growth in net profit for the year ended December 2025 to Sh5.5 billion, up from Sh5 billion in 2024.

Among the six listed insurers at the NSE, only Britam and Sanlam Allianz Holdings failed to pay a dividend in 2025. Sanlam Allianz reported a net profit of Sh838 million last year, but has not paid a dividend for 12 straight years.

The other listed insurance firms have recorded lower gains compared to Britam in the year-to-date. Kenya Re has a gain of 18 percent to Sh3.55 per share since the beginning of the year, while Jubilee Holdings’ share price has appreciated 12 percent to Sh375.50.

Sanlam Allianz Holdings is up 3 percent to Sh8.72 per share, CIC Insurance is flat at Sh4.56 and Liberty Holdings has shed 10 percent to trade at Sh9.10 per share.

Overall, only Britam and Car & General have recorded share price gains above 100 percent this year, with the next best performers being I&M Group (63 percent), Uchumi Supermarkets (62 percent) and Kenya Airways (61 percent).

The bourse has added Sh959.6 billion or 33 percent in investor wealth in the period, partly boosted by the new listings of Kenya Pipeline Company (KPC) and Family Bank, which have injected a combined Sh206.7 billion in new wealth into the market

Britam has gained 60 percent in the last three weeks, double the gain it had made in the first six months of the year. Its year-to-date gain of 119 percent is only second to Car & General (136 percent) among the top-performing stocks at the Nairobi Securities Exchange (NSE).
The company’s market capitalisation –the measure of investor wealth—has now risen by Sh18.7 billion to Sh50.3 billion over the three-week period as a result of the share price rally.

Analysts said that the counter has seen speculative trading by local investors attracted by the announcement earlier this year that the company is cleaning up its balance sheet by paying down accumulated losses of Sh5.88 billion.

The Company Act bars an institution from paying dividends if it has accumulated losses.

“There is no special market action driving the rally, other than the balance sheet cleanup that has some investors seeing the prospect of resumption of dividend payments. The demand has come from local investors, particularly fund managers,” said Melody Ndanu, a research analyst at Standard Investment Bank.

Britam shareholders approved a resolution to use part of its share premium of Sh13.2 billion to clear the accumulated losses during the firm’s annual general meeting in May, clearing the way for a resumption of dividend payments.

Share premium represents the excess amount paid by investors for newly issued shares above their par value. Reduction in share premium does not affect shareholding of a company, ort its equity position.

Prior to dipping into the premium, Britam, had been relying on dividends from its subsidiaries to cut back the accumulated losses over a five-year period, given that it is not an operating entity.

Britam operates life assurance, general insurance and asset management in seven countries, including Kenya, Rwanda, Uganda, Tanzania, South Sudan, Mozambique and Malawi.

The company has now gone for six years without paying dividends, but its managing director Tom Gitogo said in March that extinguishing the accumulated losses would open the door to a payout this year, possibly an interim dividend.

The company reported a 10 percent growth in net profit for the year ended December 2025 to Sh5.5 billion, up from Sh5 billion in 2024.

Among the six listed insurers at the NSE, only Britam and Sanlam Allianz Holdings failed to pay a dividend in 2025. Sanlam Allianz reported a net profit of Sh838 million last year, but has not paid a dividend for 12 straight years.

The other listed insurance firms have recorded lower gains compared to Britam in the year-to-date. Kenya Re has a gain of 18 percent to Sh3.55 per share since the beginning of the year, while Jubilee Holdings’ share price has appreciated 12 percent to Sh375.50.

Sanlam Allianz Holdings is up three percent to Sh8.72 per share, CIC Insurance is flat at Sh4.56 and Liberty Holdings has shed 10 percent to trade at Sh9.10 per share.

Overall, only Britam and Car & General have recorded share price gains above 100 percent this year, with the next best performers being I&M Group (63 percent), Uchumi Supermarkets (62 percent) and Kenya Airways (61 percent).

The bourse has added Sh959.6 billion or 33 percent in investor wealth in the period, partly boosted by the new listings of Kenya Pipeline Company (KPC) and Family Bank which have injected a combined Sh206.7 billion in new wealth into the market.Charles Mwaniki
[email protected]

Insurance firm Britam’s share has jumped to an 11-year high of Sh19.95 after rallying this month on expectations among investors that the company will resume paying dividends after a six-year drought.

The company’s stock has gained 60 percent in the last three weeks, double the gain it had made in the first six months of the year. Its year-to-date gain of 119 percent is only second to Car & General (136 percent) among the top performing stocks at the Nairobi Securities Exchange (NSE).

The company’s market capitalisation –the measure of investor wealth—has now risen by Sh18.7 billion to Sh50.3 billion over the three-week period as a result of the share price rally.

Analysts said that the counter has seen speculative trading by local investors attracted by the announcement earlier this year that the company is cleaning up its balance sheet by paying down accumulated losses of Sh5.88 billion.

The Company Act bars an institution from paying dividends if it has accumulated losses.

“There is no special market action driving the rally, other than the balance sheet cleanup that has some investors seeing the prospect of resumption of dividend payments. The demand has come from local investors, particularly fund managers,” said Melody Ndanu, a research analyst at Standard Investment Bank.

Britam shareholders approved a resolution to use part of its share premium of Sh13.2 billion to clear the accumulated losses during the firm’s annual general meeting in May, clearing the way for a resumption of dividend payments.

Share premium represents the excess amount paid by investors for newly issued shares above their par value. Reduction in share premium does not affect shareholding of a company, ort its equity position.

Prior to dipping into the premium, Britam, had been relying on dividends from its subsidiaries to cut back the accumulated losses over a five-year period, given that it is not an operating entity.

Britam operates life assurance, general insurance and asset management in seven countries, including Kenya, Rwanda, Uganda, Tanzania, South Sudan, Mozambique and Malawi.

The company has now gone for six years without paying dividends, but its managing director Tom Gitogo said in March that extinguishing the accumulated losses would open the door to a payout this year, possibly an interim dividend.

The company reported a 10 percent growth in net profit for the year ended December 2025 to Sh5.5 billion, up from Sh5 billion in 2024.

Among the six listed insurers at the NSE, only Britam and Sanlam Allianz Holdings failed to pay a dividend in 2025. Sanlam Allianz reported a net profit of Sh838 million last year, but has not paid a dividend for 12 straight years.

The other listed insurance firms have recorded lower gains compared to Britam in the year-to-date. Kenya Re has a gain of 18 percent to Sh3.55 per share since the beginning of the year, while Jubilee Holdings’ share price has appreciated 12 percent to Sh375.50.

Sanlam Allianz Holdings is up three percent to Sh8.72 per share, CIC Insurance is flat at Sh4.56 and Liberty Holdings has shed 10 percent to trade at Sh9.10 per share.

Overall, only Britam and Car & General have recorded share price gains above 100 percent this year, with the next best performers being I&M Group (63 percent), Uchumi Supermarkets (62 percent) and Kenya Airways (61 percent).

The bourse has added Sh959.6 billion or 33 percent in investor wealth in the period, partly boosted by the new listings of Kenya Pipeline Company (KPC) and Family Bank which have injected a combined Sh206.7 billion in new wealth into the market.