Regency Alliance Insurance Plc (NGX: REGALINS) has formally signed its Rights Issue Agreement, setting the stage for the next phase of the company’s strategic expansion and capital raise.
According to a press release on NGX, as reported by Investogist, the rights issue involves 3.201 billion ordinary shares of 50 kobo each at 95 kobo per share, based on one new ordinary share for every five ordinary shares held, resulting in a total offer value of ₦3.04 billion.
The signing ceremony, held at the company’s headquarters in Lagos, brought together members of the Board of Directors, management, issuing house, legal advisers, stockbrokers, and other key stakeholders.
The capital raise will enhance underwriting capacity, support digital infrastructure expansion, and fund new product development across Nigeria.
Acting Chairman Chief Wale Taiwo, SAN, described the signing as a declaration of intent rather than a routine procedure. “This capital raise will give us the firepower to meet evolving risks, expand our reach, and deepen the promise we make to every policyholder: that Regency Alliance will be there when it matters most,” he said.
Managing Director Mr. Bode Oseni said the funds would be deployed toward modernising the company’s operations and broadening its customer base.
He said the proceeds would accelerate the company’s digital transformation and improve claims efficiency, adding that the company intended to introduce innovative products tailored to SMEs, Gen Z, and other underserved segments across Nigeria and beyond. “We are not merely raising capital; we are raising our ambition,” Oseni said.
The acceptance list will open on 22 June 2026 and close on 3 July 2026, with eligible shareholders encouraged to complete and submit their applications within the stipulated period.
The offer is part of efforts to sustain value creation through disciplined underwriting, responsive service, and prudent financial management.
Existing shareholders will be given the right to subscribe for additional shares in proportion to their current holdings.
The current offer forms part of a broader recapitalisation programme.
The Nigerian Insurance Industry Reform Act 2025 mandates new minimum capital requirements for insurance players, with non-life insurance firms expected to raise their capital to ₦15 billion.
Regency Alliance’s board previously approved plans for a rights issue and private placement to raise the full ₦15 billion required under the Act.
The company said it had secured all regulatory approvals and would proceed with shareholder communications and offer implementation in line with the requirements of the Securities and Exchange Commission (SEC) and the Nigerian Exchange Limited (NGX).
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