Lasaco Assurance Plc has formally launched a N18.47 billion rights issue, marking a pivotal step in its strategy to significantly bolster its capital foundation. The announcement was made at a signing ceremony held at the firm’s Lagos headquarters, following the receipt of all necessary regulatory approvals from the Nigerian Exchange Group (NGX) and the Securities and Exchange Commission (SEC).
The company’s Managing Director, Mr. Ademoye Shobo, confirmed that the initiative received prior shareholder endorsement at an Extraordinary General Meeting. Under the terms of the offer, Lasaco Assurance is issuing 9,236,321,546 ordinary shares at N2.00 per share, on the basis of five new shares for every six existing shares held. Shareholders registered as of the close of business on February 20, 2026, are eligible to participate.
This capital infusion, expected to raise approximately N18.47 billion, is designed to directly enhance the insurer’s underwriting capacity and fund its strategic expansion plans. The move follows a shareholder vote in December 2025 to increase the company’s minimum share capital from N11.08 billion to N36.08 billion, a raise of about N25 billion aimed at fortifying its financial standing.
The transaction is being managed by Meristem Capital Limited as the Lead Issuing House, with PAC Capital acting as Joint Issuing House. Mr. Shobo emphasized that this capital raise is aligned with sector-wide efforts to meet regulatory benchmarks and build more robust balance sheets. He noted that a stronger capital base will empower the company to underwrite larger and more complex risks, thereby increasing its participation in high-value insurance transactions.
This initiative by Lasaco Assurance occurs within the context of a broader industry recapitalization drive, a strategic push that parallels other national economic strategies, such as when the FG budgets N2.3 trillion for critical infrastructure. Just as sectors from Nigerian FMCG giants to technology firms pursue growth, this recapitalization is essential for improving the resilience and competitiveness of Nigeria’s insurance market, ensuring it can support the nation’s evolving economic ambitions.
