By Peter Egwuatu & Blessing Oyakhire
CHIEF Executive Officer, Consolidated Hallmark Insurance Plc, Mr. Eddie Efekoha, yesterday, disclosed that the company has recorded about 30 per cent return on investment to shareholders and expressed greater optimism in the level of subscription of its N500 million Rights Issue that just opened.
Speaking in an interview with Vanguard, Efekoha said, “the N500 million rights issue has opened on Monday and we hope our shareholders will pick up their rights. Today (Monday) is a special day for us as a company given that our rights issue has opened. Why is it special? Since 2017 that three companies came together and merged to become Consolidated Hallmark Insurance Plc, we have not gone to the capital market to raise any money. This is our first time because our rights issue opened today and that is why we say today is an important day in the history of the company.”
Commenting on the performance of the company, he said “Now, we have grown our business taking few advantage of the synergy from all of the merging partners. Today by virtue of performance in 2016, gross premium we have grown from N1 billion to over N6 billion. By way of dividend we have paid dividend not in all the years, but we have paid sufficient dividend in the last 10 years to earn above average mark. We had the opportunity of paying dividend 11 times, but we have paid about 6 times.
Cumulatively we have paid over N1.1 billion and remember our capital base is N3 billion. So if cumulatively over this period we have paid N1.1 billion that means also that we have done over 30 per cent by way of returns to shareholders. But beyond that the assets has grown. We have total asset at about N7 billion and net asset is about N4.4 billion at year end, but still again with capital of N3 billion generating a net asset of N4.4billion and in spite of the fact that we have paid about N1.1 billion and bear in mind that we equally lost money in the capital market when that market crashed we lost between N700 million and N800 million.”