23rd September 2024 -IAM, News
Olivier Aeschlimann, Senior Financial Analyst
The publication of mixed half-year results was an opportunity for the Rhine insurer to present to investors adjustments to its strategic plan. These restructurings are certainly not unrelated to the arrival of the activist fund Cevian in the group’s capital. With 9% Cevian is now the main shareholder of Baloise. The group therefore announced that it wanted to accelerate its strategic refocusing and review its capital management policy. Baloise is aiming to generate more than two billion francs of liquidity by the end of 2025, to which an additional billion will be added by 2027. This is with the aim of increasing the profitability of equity from 12% to 15% on the period 2024 – 2027. The distribution ratio is revised upwards to reach 80%. The cash returned will be in the form of dividends and share buybacks. Finally, changes within the board of directors are envisaged in order to strengthen insurance expertise.
