Great Nigerian Insurance Plc has announced that it received approval from the Securities and Exchange Commission (SEC) to proceed with its proposed rights issue of 6,000,000,000 ordinary shares, each with a par value of 50 Kobo, at an issue price of N2.6 per share. The rights issue, valued at N15.6 billion, is structured as six new ordinary shares for every seven existing ordinary shares held by shareholders as of the record date of 4 June, 2026.
Disclosure to Stakeholders
The company disclosed this development in a formal notice addressed to shareholders, stakeholders, the National Association of Securities Dealers, and the investing public. It stated that the SEC's approval paves the way for the rights issue to proceed under the terms sanctioned by the commission.
Previous Capital Raise
Great Nigerian Insurance Plc recently concluded a private placement worth N8.2 billion, which brought its combined capital base to N21.3 billion. This earlier capital injection enabled the insurer to achieve full compliance with the National Insurance Commission’s (NAICOM) minimum capital requirement of N10 billion for life business operations.
Rights Issue Timeline
The application period for the rights issue commenced on 15 June, 2026, and will remain open until 26 June, 2026. The company expects the proceeds from this offer to further support the recapitalization of its general business operations and strengthen its capital position beyond NAICOM’s minimum threshold of N15 billion for general business.
This strategic move underscores Great Nigerian Insurance Plc's commitment to meeting regulatory standards and enhancing its financial stability in the competitive insurance market.
