Commercial Credit buys AMW Insurance Brokers for Rs. 15 m

Wednesday, 31 August 2022 02:34 - - {{hitsCtrl.values.hits}}

Commercial Credit and Finance is entering the insurance market with the acquisition of AMW Insurance Brokers Ltd.

In a disclosure to the CSE, Commercial Credit said it paid Rs. 15 million for the 100% stake. It also said that the Central Bank has granted approval for the acquisition.

Commercial Credit reported a profit after tax of Rs. 4.52 billion for the financial year ended 31 March 2022, a 93.6% growth compared to the previous year.

This growth was mainly fuelled by the 32.3% increase in the net interest income, 67.5% increase in the fee and commission income and the 82.4% increase in the other operating income.

The company’s asset base grew to Rs. 93.6 billion from Rs. 91.1 billion in FY22 recording a growth of 2.7%. This was mainly caused by the growth in the net loan book which grew by 7.9% in FY22. The deposit and savings base of the company increased by 0.2% during a challenging year for fund mobilisation, finishing with a deposit and savings base of Rs. 48.1 billion.