Insurers to raise N16.3 billion from rights issue

Linkage Assurance has outlined plans to raise fresh equity from shareholders to meet new capital thresholds and position for expansion under sweeping industry reforms.

The underwriter notified the Nigerian Exchange Limited (NGX) that it has secured approval from the Securities and Exchange Commission (SEC) for a rights issue of 12.32 billion ordinary shares of 50 kobo each at N1.32 per cent.

The offer, valued at about N16.3 billion, is open to existing shareholders with two new ordinary shares for every three ordinary shares held as at January 22.

Under the timetable released to the market, the offer will open on March 11 and close on April 23, 2026.

The capital raise forms part of the company’s strategy to strengthen its financial base and comply with the minimum capital requirements introduced under the Nigeria Insurance Industry Reform Act 2025, which is reshaping Nigeria’s insurance industry.

The insurer said the rights circular will be distributed to shareholders by the registrar to the offer, Apel Capital Registrars Limited.

Shareholders may subscribe electronically or through paper documentation.