Niger Insurance to Restructure Share Capital, Raise N15bn

By Modupe Gbadeyanka

Shareholders of Niger Insurance Plc have authorised its board to restructure the company’s share capital and also raise addition capital of up to N15 billion.

This approval was granted at the 49th Annual General Meeting (AGM) of the firm held on Thursday, November 21, 2019 in Lagos, where other resolutions were unanimously passed by investors.

It was disclosed that the authorisation for the restructuring of the share capital stipulates that this exercise can be done either by way of share consolidation, division, cancellation or re-denomination.

“That the directors of the company be and are hereby authorised to restructure the share capital of the company either by way of share consolidation, division, cancellation or re-denomination of the shares of the company as shall be deem fit and suitable by the directors,” the resolution passed for this purpose read.

Also, the shareholders approved the that the board can issue “shares of the company either at a premium or a discount, provided that where a discount price results in the shares being issued at a price is below the par value (up to a maximum discount of 70 percent the directors be and are hereby authorised to proceed to issue the shares at the stated discount.”

On the capital raising, investors of the Niger Insurance Plc said the board is allowed to “take all necessary steps to raise additional capital of up to N15 billion either by way of rights issue, private placement or to negotiate merger and acquisition or any other form of business combination or other arrangement or a combination of methods with insurance companies and that the rights issue be executed at such price, time and on such other terms and conditions as the directors may deem fit.”

Niger Insurance Plc is an insurer in Nigeria transacting all classes of insurance business. The firm offers a wide range of innovative and customer-oriented insurance products in life and non-life insurance to its growing clients.

The company, listed on the Nigerian Stock Exchange (NSE), presently operates with an asset base in excess of N21 billion and a fully paid-up share capital of N3.868 billion, according to information o0n the company’s website.