Economy
Shift in AIICO Insurance AGM Worries Observers
By Dipo Olowookere
The postponement of the Annual General Meeting (AGM) of AIICO Insurance Plc is already making some market participants raise eyebrows.
According to them, the reason given by the board of the company for the change in the date of the meeting is not convincing enough.
On Tuesday, the insurance firm issued a notice to the Nigerian Stock Exchange (NSE) that it would no longer be having the anticipated AGM to discuss the financials of the company on September 30, 2020.
In the disclosure yesterday, AIICO Insurance said this meeting will now hold on Tuesday, December 8, 2020.
The reason given for the shifting of the shareholders’ gathering is because of the N3.5 billion rights issue of the company, which opened on Wednesday, September 2, 2020, and will run through Wednesday, October 7, 2020.
In the exercise, the underwriter is offering a total 4,357,770,954 ordinary shares of 50 kobo each at 80 kobo per unit on the basis of five new ordinary shares for every 13 ordinary shares held as at the close of business on Monday, June 15, 2020.
“The board of directors of AIICO Insurance Plc wishes to inform the shareholders of AIICO Insurance Plc that the earlier date, Wednesday, September 30, 2020, it intended to hold its AGM, earlier published by the company as contained in the corporate action posted on the portal of the NSE will no longer hold as earlier published.
“The company intends to now hold its 2019 AGM on December 8, 2020,” the notice yesterday said.
“This change in date is occasioned by the delay in concluding a number of transactions earmarked as conditions precedent to the AGM.
“One of the conditions is (but not limited to) the conclusion of rights issue to the shareholders of the company which although has now commenced, was delayed majorly because of the issues arising from the COVID-19 pandemic,” AIICO Insurance explained.
“A formal notice of meeting including venue and time will be communicated to the shareholders in due course,” the firm assured.
But some observers in the nation’s stock market, who spoke with Business Post, said they are not convinced with the excuse given by the board of the company.
“How does a rights issue which started this month hinder a company to hold its AGM meant to discuss its performance in the previous financial year,” an investor in the market, Mr Akinade Muyiwa, queried.
Another investor, Mr Sodade Seyi, said, “I just hope the board is not hiding something from shareholders of the company.”
A stockbroker with one of the leading brokerage firms in Nigeria, who asked not to be named, submitted that, “Things like this affect the corporate governance of a company. I want to believe the decision of the board to shift the AGM is in the best interest of shareholders.”
Business Post reports that shares of AIICO Insurance depreciated at the stock exchange on Wednesday by 3.41 per cent or 3 kobo to 85 kobo per unit.
By Aduragbemi Omiyale
Nigeria slightly surpassed its quota set by the Organisation of the Petroleum Exporting Countries (OPEC) in July 2026.
In the month under review, the country produced about 1.57 million barrels of crude oil per day.
It was the third consecutive month Africa’s largest oil-producing nation was meeting its monthly quota, set to stabilise the price of the commodity on the global market by the oil cartel.
Data released by the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) on Wednesday showed that the 1.5 million barrels per day ceiling for Nigeria was surpassed last month.
The agency disclosed in a statement today that the country produced 1.505mbpd of crude oil and 0.17mbpd of condensate, bringing the combined daily production to 1.67mbpd.
In the month under review, the daily peak production of crude oil and condensate was 1.78mbpd, while the lowest daily production was 1.57mbpd.
Although Nigeria met its OPEC quota in the month of July, the statistics show that on a month-on-month basis, production fell by 4 per cent.
This was attributed to the decline in production due to operational challenges experienced at the Erha and Akpo fields, which impacted crude oil output during the period under review.
These disruptions constrained production volumes and contributed significantly to the overall reduction in national crude oil output.
Despite the challenges, production operations across most other producing assets remained relatively stable, with operators implementing measures aimed at maintaining production efficiency and minimising the impact of operational constraints, NUPRC stated.
By Aduragbemi Omiyale
The over 9 billion shares of Lasaco Assurance Plc issued to shareholders of the company via a rights issue have been listed on the Nigerian Exchange (NGX) Limited.
The equities were brought to Customs Street on Wednesday by the organisation, increasing its total issued and fully paid-up share capital.
Lasaco Assurance, which scaled the recapitalisation hurdle of the National Insurance Commission (NAICOM) in July 2026, raised fresh capital from the capital market to shore up its capital base.
The underwriting firm got about N18.5 billion from the rights issue, which involved the issuance of 9,236,321,546 ordinary shares at a unit price of N2.00.
The exercise was on the basis of five new ordinary shares for every existing six ordinary shares held as of the close of business on Friday, February 20, 2026.
Confirming the listing of the additional stocks of Lasaco Assurance today, the Head of Issuer Regulation Department of NGX RegCo, Mr Godstime Iwenekhai, announced in a circular that, “Trading licence holders are hereby notified that an additional 9,236,321,546 ordinary shares of 50 Kobo each of Lasaco Assurance Plc were today, Wednesday, August 12, 2026, listed on the daily official list of Nigerian Exchange Limited.
“The additional shares arose from the company’s rights issue of 9,236,321,546 ordinary shares of 50 Kobo each at N2.00 per share on the basis of five new ordinary shares for every existing six ordinary shares held as of the close of business on Friday, February 20, 2026.
“With the listing of the additional 9,236,321,546 ordinary shares, the total issued and fully paid-up share capital of Lasaco Assurance Plc has now increased from 11,083,585,855 to 20,319,907,401 ordinary shares of 50 Kobo each.”
By Adedapo Adesanya
The Nigerian Insurers Association (NIA) has said the successful recapitalisation of the insurance industry will strengthen the sector’s ability to support financial stability and economic growth.
NIA Chairman, Mrs Ebelechukwu Nwachukwu, said a well-capitalised insurance industry would be better positioned to meet its obligations promptly, underwrite complex and large-scale risks and serve as a dependable pillar of the Nigerian economy.
She made the remarks while commending the National Insurance Commission (NAICOM) for its structured implementation of the new minimum capital requirements under the Nigerian Insurance Industry Reform Act (NIIRA) 2025.
Mrs Nwachukwu said NAICOM’s clear guidelines, systematic verification process, defined timelines and rigorous supervision had provided operators with a credible framework for navigating the recapitalisation exercise.
She described the outcome as a major milestone for the industry and congratulated the 43 insurance and reinsurance companies that have successfully met the prescribed minimum capital requirements.
According to her, the exercise represents “a major win not just for regulators and operators, but for policyholders, investors and the wider Nigerian economy.”
Mrs Nwachukwu said the association would continue to work with NAICOM and other stakeholders to consolidate the gains of the exercise, with emphasis on sustainable industry growth, stronger market conduct and improved consumer confidence.
The official also expressed solidarity with the eight companies still undergoing final verification and regulatory review, urging them to remain confident as NAICOM completes the process within the 14-day review period.
The NIA chairman assured policyholders and the wider business community that the insurance industry would emerge from the recapitalisation exercise stronger, more resilient and better positioned to contribute to Nigeria’s economic development.
