THE management of Guinea Insurance is set to increase its share capital from N4 billion to N12 billion, however, dependent on shareholder’s approval.
The company made this disclosure in a notice to the Nigerian Stock Exchange (NSE), announcing its forthcoming Annual General Meeting (AGM), scheduled to hold on Wednesday, November 20, 2019.
According to the notice, “the directors are hereby authorized to raise, whether by way of public offer, private placements, rights issue, book building process or other methods, additional capital of up to N12,000,000,000 by way of issuance of shares, convertible or non-convertible loans, stocks, medium-term notes, corporate bonds or other securities in such tranches.
“That the authorised share capital of the company be and is hereby increased from N4,000,000,000 to N12,000,000,000 by the addition of the sum of N8,000,000,000 divided into N16,000,000,000 ordinary shares of 50Kobo each ranking in all respect pari-pasu with the existing shares of the company.”
The proposed capital raise might be in a bid to meet the insurance regulatory body’s recapitalisation benchmark.