By Britam Holdings said on Monday it has completed a reduction of its share premium account by 5.875 billion Kenyan shillings ($45.4 million), bringing the balance down to 7.36 billion shillings, after securing court and regulatory approval.
The Nairobi-based insurer and financial services group said the Share Premium Reduction took effect on Sept. 7, cutting the account from 13.24 billion shillings to 7.36 billion shillings, according to a public announcement.
Britam first disclosed the planned reduction to shareholders and the public on March 30, 2026. The company said it has since completed all steps required under Kenya’s Companies Act, Chapter 486, to bring the exercise into effect.
Shareholders approved the Share Premium Reduction through a special resolution passed at a general meeting on May 21, 2026, Britam said.
The High Court of Kenya then issued an order on July 30, 2026, confirming the reduction and approving a statement of capital reflecting the company’s revised capital structure, according to the announcement.
On Sept. 7, 2026, the Registrar of Companies registered the court order and the statement of capital in line with Section 411 of the Companies Act, completing the final regulatory step.
Britam’s board said the reduction has not altered the company’s shareholding structure. Shareholders continue to hold the same number and class of shares as before the exercise, the board said.
The board also said the company’s total equity and net assets have not been negatively affected by the reduction. It said the cut in the share premium account corresponds to the elimination of accumulated losses, and that the company’s underlying financial position remains unchanged.
A share premium account holds the excess amount investors pay for shares above their nominal, or par, value. Companies can apply to reduce this account, subject to court and regulatory approval, typically to offset accumulated losses on their balance sheet without affecting shareholders’ equity stakes or issuing new shares.
The reduction was carried out under the Capital Markets Act, Chapter 485A of the Laws of Kenya, and the Capital Markets (Public Offers, Listings and Disclosures) Regulations, 2023, Britam said.
The announcement was signed by Hilda Njeru, Britam’s company secretary, and dated Sept. 7, 2026. It said the disclosure was made with the approval of the Capital Markets Authority of Kenya, though the regulator said it assumes no responsibility for the correctness of the statements in the announcement, in line with its standard disclosure policy.
Britam’s legal adviser on the transaction was DLA Piper Africa, Kenya (IKM Advocates), according to the announcement.
Britam Holdings PLC is incorporated in Kenya under the Companies Act, Chapter 486, with company registration number C.5/2012. The group operates across East and Southern Africa, with a presence in Kenya, Uganda, Tanzania, Rwanda, South Sudan, Mozambique and Malawi.
The company offers insurance, asset management and other financial services, and its shares are listed on the Nairobi Securities Exchange.
