Following its 65 per cent acquisition of Key Insurance, GraceKennedy (GK) Group CEO Don Wehby has indicated that the top priority is to turn around the insurance company from its current loss-making status to a sustainably profitable company.
Wehby advised that a team, headed by GraceKennedy Financial Group Chief Operating Officer Steven Whittingham, will present a two-year strategic plan for the board’s approval.
“We have four strategic drivers with clearly defined and measurable deliverables — sustainable growth and innovation, consumer centricity, improved business processes for greater efficiency and a performance-driven culture, and underpinned by strong change management principles,” Wehby stated.
“At GraceKennedy’s recently held investor briefing, I indicated that the Key brand is strong and well respected in the Jamaican market, and that we feel it will be a success story for GK. Now that the deal is completed we can roll out the strategy to [ensure] that this comes to fruition. We are confident that the strategy will support this.”
The acquisition of Key Insurance is part of the group’s plans to further strengthen and expand its financial services division. This division forms part of the company’s larger strategy of mergers and acquisitions as a strategic driver for growth.
Established in 1982, Key Insurance is listed on the Junior Market of the Jamaica Stock Exchange and has with offices in Kingston, Portmore, May Pen, Ocho Rios, Montego Bay and Mandeville.
In the last couple of years the company has faced some challenges which saw it incurring a series of net losses and also coming up short on its solvency test, in which its minimum capital fell below the regulatory requirement.
The company will be the newest member of the GraceKennedy Financial Group, which comprises Western Union, Bill Express, FX Trader, GK General Insurance, Allied Insurance Brokers, GK Capital and First Global Bank.