Linkage Assurance Plc has raised N16.2 billion through a Rights Issue, surpassing the National Insurance Commission's (NAICOM) minimum capital requirement for non-life insurers before the July 31, 2026 deadline. The company disclosed the completion in a statement signed by its Company Secretary, Moses Omorogbe, on Monday.
Rights Issue Details
The Rights Issue opened on March 11, 2026, and closed on April 23, 2026, as part of Linkage Assurance's response to NAICOM's recapitalisation directive. The Securities and Exchange Commission (SEC) approved the allotment of all shares, which have been listed on the Nigerian Exchange Limited (NGX).
“Linkage Assurance Plc is pleased to announce the successful completion of its N16.2 billion Rights Issue ... Following the approval of the Securities and Exchange Commission (SEC), all the shares have been allotted to the subscribers of the Rights Issue, and the shares have been listed on the Nigerian Exchange Limited (NGX),” the company stated.
Regulatory Context
The capital raising aligns with the Nigerian Insurance Industry Reform Act, 2025, signed into law by President Bola Ahmed Tinubu in August 2025. The Act raised minimum capital thresholds: non-life insurers from N3 billion to N15 billion, life insurers from N2 billion to N10 billion, and reinsurers from N10 billion to N35 billion. It also introduced stricter claims settlement timelines and policyholder protection mechanisms. NAICOM provided a one-year transition period ending July 31, 2026.
Investor Confidence
Linkage Assurance noted that the Rights Issue was fully subscribed, reflecting stakeholder confidence in its management, governance, financial performance, and strategic direction. “The conclusion of the capital-raising, which was fully subscribed, reflects the continued confidence of stakeholders in the Company’s Board and Management, governance, financial performance, and strategic direction. The Company remains committed to full regulatory compliance and prudent risk management,” the company said.
Proceeds will satisfy the new minimum capital requirement and support business expansion initiatives under its long-term growth strategy.
Financial Performance
For the 2025 financial year, Linkage Assurance reported a pre-tax profit of N4.3 billion, down from N5.2 billion in 2024. However, insurance revenue rose 24.1% year-on-year to N27.5 billion, compared with N22.2 billion. Premium income increased 15.8% to N27.8 billion, while claims paid rose to N5.9 billion, reflecting higher underwriting activity.
The successful fundraising ensures Linkage Assurance meets the N15 billion minimum capital requirement, strengthening its ability to deliver enhanced services and create shareholder value.
