SUNU seals rights issue process, targets market launch within weeks
By Omobola Tolu-Kusimo SUNU Assurances Nigeria Plc has moved decisively to raise fresh capital through a rights issue, offering existing shareholders the opportunity to subscribe to new shares, after concluding
By Omobola Tolu-Kusimo
SUNU Assurances Nigeria Plc has moved decisively to raise fresh capital through a rights issue, offering existing shareholders the opportunity to subscribe to new shares, after concluding all internal approvals for its N9.34 billion capital raise, setting the stage for a market launch within weeks, pending final clearance from the Securities and Exchange Commission Nigeria.
At a Completion Board Meeting held in Lagos and witnessed by journalists, the insurer formally executed all transaction documents, verified its offer circular, and secured final sign-offs from directors and professional parties, effectively closing the structuring phase of the deal.
The offer, structured as a rights issue of 2.08 billion ordinary shares at N4.50 each, marks one of the notable capital-raising moves in Nigeria’s insurance sector this year, as operators position ahead of evolving capital requirements and intensifying competition.
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Backed by regulatory nods from the Nigerian Exchange Limited and a “No Objection” from the National Insurance Commission, SUNU’s transaction now enters its final regulatory stretch.
The Managing Director/CEO, Dr. Samuel Ogbodu, indicated a likely opening window in the coming weeks after the next regulatory approval.
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According to him, proceeds from the offer are earmarked for capital strengthening, business expansion, and technology upgrades signalling a strategic push to scale operations and improve market positioning.
SEC had earlier approved the Rights Circular and registration of the securities, paving the way for the completion board process and eventual market launch.
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All subscription funds are to be held in designated interest-yielding accounts with a bank pending clearance of share allotment by the regulator.
The company further demonstrated transparency at the meeting’s verification process, during which directors and advisers reviewed and affirmed the accuracy of all disclosures contained in the Rights Circular.
Following detailed scrutiny, the board confirmed that the company’s financial information is accurate in all material respects stating that there are no undisclosed liabilities outside normal business operations; No pending litigation exists that could materially affect the offer; and Directors also assumed full collective and individual responsibility for the integrity of the offer document, a key requirement designed to strengthen investor confidence and market transparency.
According to the offer documents, proceeds from the rights issue will be deployed across multiple strategic priorities, including capital strengthening and investment optimization; Business expansion and market penetration; Advertising and brand visibility; and Information technology and digital transformation.
The allocation reflects SUNU’s intention to reinforce its balance sheet, scale operations, and improve service delivery in an increasingly competitive insurance landscape.
Ogbodu said: “This transaction is not just about raising capital; it is about positioning SUNU for the next phase of growth in Nigeria’s insurance industry.
“We are strengthening our balance sheet to take advantage of emerging opportunities, expand our footprint, and invest in digital capabilities that will improve efficiency and customer experience, he added.
