Linkage Assurance Plc has secured approval from the Securities and Exchange Commission (SEC) to raise N16.26 billion through a rights issue aimed at strengthening its capital base and supporting future growth.
In a filing to the Nigerian Exchange (NGX), the company disclosed that it plans to list 12.32 billion ordinary shares of 50 kobo each, priced at N1.32 per share. The offer will be made to existing shareholders on the basis of two new shares for every three shares held as of January 22, 2026.
According to the company, the rights offer will open on March 11, 2026, and close on April 23, 2026.
Linkage Assurance said the capital raise is part of efforts to comply with the new minimum capital requirements introduced under the Nigerian Insurance Industry Reform Act, 2025, while also strengthening its capacity to expand operations across key business segments.
Shareholders will be able to participate in the offer through the registrar’s online portal or by completing participation forms available from the registrar. Completed forms and proof of payment must be submitted to issuing houses or receiving agents before the closing date.
The company noted that the exercise provides existing shareholders the opportunity to increase their equity holdings while supporting the company’s long-term growth strategy.
Before the offer, Linkage Assurance had 18.47 billion shares listed on the Nigerian Exchange, with a market capitalisation of about N33.4 billion. Following the new listing, the company’s total shares are expected to rise to 30.79 billion.
The rights issue will enable the insurer to meet the N15 billion minimum capital requirement for non-life insurance firms, up from the previous N3 billion, as mandated by the 2025 insurance reform law signed by President Bola Ahmed Tinubu.
The legislation also raised the capital threshold for life insurers from N2 billion to N10 billion, while reinsurance firms must increase capital from N10 billion to N35 billion.
The reform aims to strengthen the insurance sector, improve claims settlement timelines, protect policyholders, and encourage broader participation in regional insurance schemes such as the ECOWAS Brown Card System.
Despite the announcement, Linkage Assurance’s shares closed unchanged on the Nigerian Exchange following the disclosure. However, the stock has recorded over 15 percent growth year-to-date, with more than 957 million shares traded so far in 2026.
The company reported an unaudited pretax profit of N4.3 billion in 2025, down from N5.2 billion in 2024, while total claims paid rose to N5.9 billion, compared to N4.5 billion the previous year.
