Britam Holdings Proposes Increase in Employee Share Ownership Plan

Britam Holdings Plc has formally announced a proposal to expand the share allocation under its Employee Share Ownership Plan (ESOP) from the current 2% of the company’s issued and authorized capital to 5%, marking a significant shift in how the company plans to incentivize and retain staff over the long term.

The proposal, which is subject to regulatory and shareholder approvals, aims to strengthen employee engagement by enabling a greater number of staff to own a stake in the company’s future growth.

In a public notice released on March 30, 2026, the Britam Board confirmed that the proposed increase will only proceed after securing the required approvals from the Capital Markets Authority (CMA) and shareholders through a special resolution at the Annual General Meeting.

The company clarified that this proposed change will not increase the total share capital; instead, shares will be acquired on the open market on the Nairobi Securities Exchange (NSE) for allocation under the ESOP.

ESOPs: Aligning Employees with Performance

Employee Share Ownership Plans are increasingly used by Kenyan corporates to motivate staff, retain talent, and align employee interests with those of shareholders.

Under ESOPs, eligible employees are granted the opportunity to acquire company shares often at favourable terms which can lead to direct financial participation in the company’s performance and dividends.

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Such plans are regulated by the CMA to ensure compliance with legal and corporate governance standards.

“Expanding our ESOP reflects our confidence in Britam’s long‑term prospects and underscores our belief in sharing success with those who help build it,” said Hilda Njeru, Company Secretary of Britam Holdings Plc, in the announcement.

Benefits for Employees and the Firm

ESOPs are recognised for fostering a sense of ownership, boosting employee morale, and improving retention rates by giving staff a tangible stake in company outcomes.

When employees benefit from share value appreciation and dividends, they are often more engaged and committed to organisational goals.

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Additionally, ESOPs can support a positive corporate culture and enhance alignment between management, staff, and shareholders.

Positioning Britam Within the Regional Market

Britam’s ESOP expansion comes amid its strategic efforts to consolidate performance and drive sustainable growth across its regional operations in Kenya, Uganda, Tanzania, Rwanda, South Sudan, Mozambique, and Malawi.

By engaging staff through equity participation, the firm hopes to reinforce loyalty and performance across its East and Southern African footprint.

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Britam Holdings PLC public notice confirming that the proposed increase will only proceed after securing approvals from the CMA
PHOTO/Britam Holdings PLC