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Kurnia Group

Kurnia Asia makes RM400m capital injection

BUSINESS TIMES - Tuesday, October 7th, 2008

KURNIA Asia Bhd said it will increase its capital base to RM600 million as part of plans to grow its domestic operations and network.

"With the additional capital injection (of RM400 million), we are well-positioned and confident of the future ahead of us. Our key aspiration is to further fortify our domestic operations and network," its executive chairman Tan Sri Kua Sian Kooi said in an statement yesterday.

"Another critical direction is to grow and build our business through strategic expansion," he added.

The group saw its gross premium income improve marginally by 1.1 per cent to RM1.120 billion for the financial year ended June 30 2008, from RM 1.107 billion a year ago.

It recorded a net loss of RM301.78 million, mainly due to an increase in its technical reserves and a reduction in total investment income.

"Despite the results reported and the current market volatility, Kurnia is fully committed to Malaysia and the insurance business for the long term," said Kua.

"Our internal transformation and revitalisation programme, aimed at enhancing productivity and profitability, has been running for a year and a half.

"We are already starting to reap some results in our operations," he added.

The five critical pillars of transformation comprise organisation leadership; growth in non-motor sectors; distribution; underwriting and claims.

"Related to this initiative, we have also strengthened and expanded our senior management team with experienced and competent talents from strategically relevant areas within the insurance sector.

"We look forward to positive growth in the current financial year," said Kua.


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