OREANDA-NEWS. February 19, 2013. Kyrgyz Investment and Credit Bank (KICB) and shareholders of London-Bishkek Insurance Company (LBIC) signed Shares Purchase Agreement making KICB the major shareholder of LBIC. The Agreement was signed by Mr. Kwang-Young Choi, Chief Executive Officer of KICB and LBIC shareholders. By acquiring LBIC, KICB is entering the insurance sector which will expand the range of financial services of the Bank, reported the press-centre of KICB. 

Aga Khan Fund for Economic Development (AKFED), European Bank for Reconstruction and Development (EBRD), Jubilee Life Insurance Company and Jubilee General Insurance Company (part of the AKFED) are expected to join KICB as shareholders of LBIC. Following the acquisition, LBIC will increase its share capital to reach approximately KGS 80 million - the largest capital among insurance companies in Kyrgyzstan. It is planned that AKFED, EBRD and Jubilee Insurance companies will have 49% shareholding in aggregate and KICB will have 51% shareholding of LBIC.

Drawing from the experience of its international shareholders, in particular Jubilee Insurance Company, a leading insurance company in East Africa,LBIC will improve its institutional capacity and introduce new insurance products to citizens of the Kyrgyz Republic and legal entities operating in the country.

“This acquisition would be a strategic step in our plan to create a broad based financial services in the Kyrgyz Republic”,said Mr. Kwang Young Choi, Chief Executive Officer of KICB. “Together with international shareholders, KICB will bring Jubilee Insurance Company’s 75 year experience of developing the insurance sector and offering quality insurance solutions. Among new insurance products, KICB will start offering life insurance to the citizens of the Kyrgyz Republic, which will be a very important step forward in improving life conditions of the citizens,” added Mr. Choi.