Uzbekistan, Tashkent, Nov. 6 / Trend , D.Azizov/
Almalyk Mining and Metallurgical Combine (AMMC, Tashkent region) will become a shareholder of public joint-stock insurance company Kafolat. Kafolat ranks third on volume of operations on the Uzbek insurance market with a share of 20 percent of the authorized capital, AMMC said.
The AMMC will join the company's shareholders by buying additional emission worth 748 million sums.
Kafolat made this decision at the extraordinary general meeting of shareholders in late October. Totally, 612,250 units of ordinary shares will be issued with a nominal value of 1,225 sums per each.
At present, the company's authorized capital is 3,000,002,950 sums, it is divided into 2,443,982 ordinary and 5,000 preferred shares with 1,225 sums per each. The company's stakes are owned by about 500 shareholders, including nine enterprises. The largest shareholders are the Uzbek Finance Ministry (20.80 percent), public joint stock company "Uzagrosugurta" (28.06 percent) and private open joint stock exchange bank Trustbank.
So far, Almalyk Metallurgical Combine has not been shareholder.
The insurance company clarified that the current decision does not cancel the decision made at the annual meeting of shareholders in May to increase the authorized capital to 8.2 billion sums. Immediately after the completion of the deal with AMMC, it is planned to issue shares worth about 4.5 billion sums.
"Kafolat" was founded in 1997 upon the decision of the country's government. At present Kafolat is an insurance company of universal type and offers over 30 types of insurance. The company has 14 branches in the country's all regions, a network of branches and representative offices.
The company's assets in 2008 increased by 23 percent - up to 8.871 billion sums. The company last year increased collection of premiums by 30.6 percent compared to 2007 - to 6.315 billion sums, insurance premiums increased by 35.2 percent - up to 594.3 million sums. Net profit of "Kafolat" in 2008 amounted to 548.1 million sums with a 25.4-percent increase compared to 2007.
Dividends for 2008 were paid in the amount 167.58 sums per ordinary share (a 21.1-percent decrease compared to 2007) and 306.25 sum per preferred share (a 37.5-percent decrease). A total of 411.1 million sums or 75 percent of the company's net profit was sent to pay dividends in 2008.
At present, in the country, there are 29 general insurance companies, two companies in the field of life insurance, a reinsurance company, three insurance broker, an actuarial organization and five companies that provide services to insurance assistance.
The main role on the market falls to three companies with state participation: a national export-import insurance Uzbekinvest, public joint-stock insurance companies Uzagrosugurta and Kafolat, which accounted for over 40 percent of total premiums in the country and the same - the total insurance payments.
In 2008, aggregate volume of insurance premiums in Uzbekistan grew by 18 percent and was 87.1 billion sums, insurance premiums - by 62.9 percent - to 14.2 billion sums.
Almalyk Mining and Metallurgical (Almalyk) is Uzbekistan's sole producer and exports all of its products. Roughly 90 percent of silver production and 20 percent of gold production accounts for AMMC. It comprises two mining divisions, two concentrating divisions and two smelters. An estimated 68% of production is exported, including 5% to other CIS nations. Concentrates from the Kalmakyr and Sari Cheku deposits provide Almalyk with 70% of its requirements.
On Nov. 5, the official exchange rate is 1504.55 sum to $1.