Published on February 24, 2025 by Kariuki Mwangi
Last Updated on 1 year by Kariuki Mwangi
Kasarani Member of Parliament who is also the CEO of giant sports betting firm SportPesa Ronald Karauri and Quiver Lounge & Grill owner Peter Mbugua are embroiled in a shareholder dispute at Definite Assurance Company Limited.
In an expose by popular blogger Cyprian Nyakundi, the country’s newest insurer targeting PSVs has left the two business moguls in a conflict that began after the Insurance Regulatory Authority (IRA) granted the firm an operating licence on December 11, 2024.
Further information reveals that Mbugua had initially sought to exit the company before the licence was issued, demanding Ksh 195 million but changed his mind after the regulatory approval, now valuing his 22% stake at Ksh 500 million.
His partners, including Mr Karauri and businessman Kushian Muchiri, insist that he already resigned, signed transfer documents, and should collect the Ksh 195 million bit according to official records, Mbugua’s firm, Swingers Skypark, is still listed as a shareholder, suggesting the ownership dispute is unresolved.
The insurer, backed by Mr Mbugua’s Ksh 175 million and Mr Karauri’s Ksh 500 million, aimed to tap into the lucrative PSV insurance market following the collapse of Invesco Assurance and Xplico.
Mbugua has accused his partners of sidelining him and running the company behind his back.
Mr Muchiri argues that the share transfer was completed and the payment is available, while Mr Karauri has remained silent on the matter.
Mbugua has threatened court action through lawyer Dunstan Omari, alleging manipulation of the company’s directorship.
The dispute threatens to destabilise the young firm amid a fiercely competitive insurance sector.
