SEC Extends Prestige Assurance Rights Issue by 2 Weeks

Prestige Assurance plc

By Dipo Olowookere

The N6.8 billion rights issue of Prestige Assurance Plc has been extended by two weeks after obtaining approval for the extension from the Securities and Exchange Commission (SEC).

The exercise was earlier billed to end on Thursday, September 17, 2020, but due to some issues, the rights issue was elongated by 14 days so as to enable for investors to partake in it.

A notice signed on Friday by the Head of Listings Regulation at the Nigerian Stock Exchange (NSE), Mr Godstime Iwenekhai, stated that the exercise will now wrap up on Wednesday, September 30, 2020.

Prestige Assurance is hoping to raise N6.8 billion from the rights issue to meet up with the latest capital requirements set by the National Insurance Commission (NAICOM) to remain in business.

The company is offering a total 13,635,796,006 units of its stocks to investors at the rate of 50 kobo each and the qualification date for the rights is Friday, January 31, 2020, and it is on the basis of 38 new ordinary shares for every 15 ordinary shares.

“Further to our market bulletin of August 10, 2020, with reference number: NSE/RD/LRD/MB39/20/08/10, dealing members are hereby informed of the extension of the offer period of Prestige Assurance Plc’s rights issue of 13,635,796,006 ordinary shares of N0.50 each at N0.50 per share on the basis of 38 new ordinary shares for every 15 ordinary shares held as at the close of business on January 31, 2020.

“The NSE has received a confirmation from SEC to extend the offer period by two weeks.

“With this extension, the offer, which was initially scheduled to close on Thursday, September 17, 2020, will now close on Wednesday, September 30, 2020,” Mr Iwenekhai said in the notice.

Business Post reports that shares of Prestige Assurance closed last Friday on the floor of the exchange at 55 kobo per unit, the same amount it ended the previous trading session.

In the previous week, it ended at 52 kobo per unit, indicating a weekly rise of 5.77 per cent or 3 kobo.

Dipo Olowookere is a journalist based in Nigeria that has passion for reporting business news stories. At his leisure time, he watches football and supports 3SC of Ibadan. Mr Olowookere can be reached via dipo.olowookere@businesspost.ng

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