The newly formed UAP-Old Mutual Group has dropped Dominic Kiarie from the executive team after the arrival of the UK investors who control a majority stake.
Former Old Mutual Group Chief Executive Peter Mwangi has formally been unveiled as the new head of the merged businesses. Mr Kiarie has been the Group Managing Director of UAP Group since 2011 before the business merger that started in January with the acquisition of 23.33 per cent stake previously held by Centum Investments Chairman Chris Kirubi.
“We regret Dominic Kiarie, former Group MD of UAP, has chosen not to accept the executive position offered,” said UAP-Old Mutual Group chairman Joseph Wanjui.
Company structure
The firm did, however, not reveal what position Mr Kiarie had been offered, with indications that he would be Mr Mwangi’s junior in the new company structure. “We thank him for his immense contribution to the success and reputation of UAP and wish him well in his future endeavours,” added Mr Wanjui, who has been chairman of UAP for 27 years. Kiarie’s exit comes months after the UK firm completed the takeover of UAP, Kenya’s third biggest insurer.
He had joined the business in 2011 after he was head-hunted from rival Britam where he has set up British American Asset Management. Mr Mwangi downplayed the exit, saying all mergers would inevitably involve business restructuring. “We have to ensure everyone has been absorbed, with no job losses.
“Old Mutual Group now controls over 60.7 per cent in the merged entity, which also includes the initial Old Mutual Kenya and a majority stake in Microfinance Faulu Kenya.”
The acquisition of 67 per cent stake in the microfinancier was completed early last year in a Sh3.6 billion transaction.
Most of the cash was invested in the lender’s business, significantly raising its profile as one of the most aggressive players in the micro-loans business.
