Guinea Insurance coverage Plc has utilized to the Nigerian Alternate (NGX) for approval to lift N5.30 billion by way of a rights concern, as a part of strategic efforts to strengthen its capital base and align with new regulatory minimal capital requirements.
The proposed provide, involving 5,295,200,000 strange shares at N1.10 per share, is structured on the premise of two new shares for each three current shares, with a qualification date of January 21, 2026, for eligible shareholders.
The applying, submitted by way of stockbrokers Forte Monetary Restricted and Mega Equities Restricted, is now awaiting regulatory approval and itemizing by NGX. Upon clearance, switch brokers will dispatch rights circulars and talk the provide timetable.
What the underwriter is saying:
Guinea Insurance coverage Plc is looking for NGX approval to conduct a rights concern aimed toward elevating capital. That is contained available in the market bulletin with reference quantity NGXREG/IRD/MB8/26/01/21, sighted by BusinessTimes on Thursday.
The corporate, by way of its stockbrokers Forte Monetary Restricted and Mega Equities Restricted, plans to supply 5,295,200,000 strange shares of fifty kobo every at N1.10 per share.
Based on the notification, the provide is structured on the premise of two new shares for each three current shares held.
Solely shareholders on report on the shut of enterprise on 21 January 2026 are eligible to take part.
What you need to know
The rights concern unfolds in opposition to vital regulatory reform in Nigeria’s insurance coverage trade, pushed by the Nigerian Insurance coverage Business Reform Act (NIIRA) 2025, which was signed into regulation on July 31, 2025.
- The Act introduces complete adjustments to trade supervision, together with larger minimal capital necessities (MCR) and the adoption of a risk-based capital (RBC) framework to make sure insurers maintain capital commensurate with underwriting dangers.
- Beneath the brand new regime, life insurance coverage corporations should keep a minimal capital base of N10 billion, whereas non-life/basic insurers are required to carry a minimum of N15 billion, and reinsurance firms should have N35 billion or extra.
- The reforms give NAICOM sweeping powers to mandate larger capital ranges primarily based on threat profiles and even cancel licences for corporations that fail to recapitalise inside the stipulated interval.
NAICOM has issued detailed pointers on the recapitalization course of, together with the submission of recapitalization plans and quarterly progress studies, capital verification procedures, and proof necessities for admissible property.
All insurers and reinsurers are required to adjust to the brand new MCR on or earlier than July 30, 2026, with heavy penalties for non-compliance.
Inventory worth efficiency on NGX
The inventory closed on Thursday, January 22, 2026, at N1.30 per share. Guinea started the yr with a share worth of N1.33 however has since misplaced 2.26% off that worth valuation, rating it 141st on the NGX when it comes to year-to-date efficiency.
The penny inventory as of early January 2025 rose to N1.77 per share on August 22, 2025, earlier than dropping to N0.96 kobo on December 11, 2025, earlier than rising to shut at N1.33 per share on December 31, 2025.
With 7.94 billion shares excellent and a market capitalization of N10.3 billion, the inventory is at the moment the one hundred and tenth most dear inventory on the NGX and about 0.0098% of the NGX fairness market worth.
