Guinea Insurance Plc has launched a N5.8 billion rights issue as it moves to strengthen its capital base ahead of the July 2026 industry recapitalisation deadline.
The offer, disclosed in a company statement following a recent signing ceremony, is part of efforts to align with regulatory requirements and position the firm for expansion.
The capital raise also follows its earlier engagement with the Nigerian Exchange Limited. Under the arrangement, the company is offering over 5.2 billion ordinary shares at N1.10 each, on the basis of two new shares for every three existing shares held by shareholders as of January 21, 2026.
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Chairman Temitope Borishade said the exercise is aimed at repositioning the company to meet evolving industry demands and improve service delivery across key sectors.
Managing Director Ademola Abidogun added that the additional funds would enhance financial stability, expand underwriting capacity, and support investments in technology and operational efficiency.
The company also plans to channel part of the proceeds into growing its presence in retail and small business insurance markets, which remain largely untapped.
Industry analysts say the move reflects a broader trend among insurers seeking to boost capital buffers and strengthen resilience as regulatory reforms tighten across the sector.
Nigeria’s insurance industry is currently undergoing major changes under new capital requirements, with firms expected to meet higher thresholds or risk regulatory sanctions.
Guinea Insurance’s latest fundraising effort is seen as a step toward meeting those benchmarks while improving its long term competitiveness.
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