Sunlife Insurance declares no dividend despite soaring share prices

Sunlife Insurance Company Ltd did not declare any dividend for the year that ended on 31 December 2021 despite posting a 55% surge in its share prices within a month.

The insurer did not provide any dividend in 2019 either and disbursed only a 1% cash dividend in 2020.

It will hold an annual general meeting (AGM) on 29 September and has set 4 September as the record date.

Sunlife Insurance is yet to pay off a significant amount of matured claims by policyholders.

Last year, the Insurance Development and Regulatory Authority verbally directed the insurer to pay off at least half the claims as soon as possible.

In March 2021, a court in Kushtia issued arrest warrants against five officials including the company's Chairperson Professor Rubina Hamid, who is also the sister of Health Minister Zahid Maleque, in connection with nine lawsuits filed by clients who had not received the claims.

In the first six months of 2022, the company's consolidated life revenue account decreased by Tk10.30 crore, while its total life insurance fund stood at Tk115.75 crore.

Its current paid-up capital is Tk35.76 crore.

Till 30 June this year, sponsors and directors jointly held 40.80%, institutions 22.68%, and general investors 36.52% of the company shares.

Sunlife Insurance raised Tk12 crore from the stock market through an initial public offering in 2013.

It is mainly engaged in individual life, Islamic individual life, and group life insurance businesses. 

Its shares closed at Tk64.9 each on Thursday on the Dhaka Stock Exchange.