SUNU Assurances Nigeria Plc has successfully completed the structuring phase of its N9.34 billion rights issue, positioning the offer for market launch in the coming weeks, subject to final approval from the Securities and Exchange Commission Nigeria.
At a Completion Board Meeting held in Lagos and attended by key stakeholders and journalists, the company formally executed all transaction documents, validated its Rights Circular, and secured final approvals from directors and professional advisers. This milestone effectively marks the close of the deal’s preparation phase.
The capital raise, structured as a rights issue of 2.08 billion ordinary shares priced at N4.50 each, represents one of the significant funding initiatives in Nigeria’s insurance sector this year, as firms reposition to meet evolving regulatory requirements and intensifying market competition.
The transaction has already received approvals from the Nigerian Exchange Limited and a “No Objection” from the National Insurance Commission, leaving final clearance from the SEC as the last step before launch.
Managing Director/CEO, Samuel Ogbodu, stated that the offer is expected to open within weeks following the final regulatory sign-off. He emphasized that proceeds from the rights issue will be deployed toward capital strengthening, business expansion, and technological upgrades.
Earlier, the SEC had approved the Rights Circular and registration of the securities, enabling the company to proceed to the completion stage.
In line with regulatory requirements, all subscription funds will be held in designated interest-yielding accounts with a bank, pending approval of share allotment.
During the verification process, directors and advisers rigorously reviewed the Rights Circular and confirmed the accuracy and completeness of all disclosures. The board affirmed that:
- The company’s financial statements are accurate in all material respects
- There are no undisclosed liabilities beyond normal business operations
- No pending litigation exists that could materially impact the offer
Directors also collectively and individually accepted full responsibility for the integrity of the offer document, reinforcing transparency and investor confidence.
According to the offer documents, the funds raised will be allocated across key strategic areas, including:
- Capital strengthening and investment optimization
- Business expansion and market penetration
- Brand visibility and advertising
- Information technology and digital transformation
These initiatives underscore the company’s commitment to enhancing its balance sheet, scaling operations, and improving service delivery in a competitive insurance landscape.
Speaking on the development, Ogbodu noted:
“This transaction goes beyond capital raising. It is a strategic move to position SUNU for its next growth phase within Nigeria’s insurance industry. We are enhancing our financial strength to seize emerging opportunities, expand our footprint, and invest in digital capabilities that will improve efficiency and customer experience.”
