By David Akinmola
Stakeholders in the insurance sector have reaffirmed their support for Lasaco Assurance’s capital –raising plan, providing a formal commitment to inject additional funds in line with regulatory requirements and the ongoing efforts to strengthen the sector.
The commitment followed the company’s Extraordinary General Meeting, where shareholders endorsed management’s strategy to strengthen its capital base.
The confirmation, according to the company, provides the clarity needed to move ahead with the approved fundraising programme.
Speaking on the development, the Acting Managing Director, Ademoye Shobo, said the shareholders’ backing offers certainty as the company begins execution of its capitalization plans.
“The commitment letters from our shareholders give us the confidence to proceed with capitalization plans in line with the Nigerian Insurance Industry Reform Act and other regulatory requirements guiding the insurance industry,” Shobo said.
“We will leverage all available opportunities to raise the approved capital, and our existing shareholders should watch out for right issue as part of the process.”
With the commitment now formally documented, the company said it would actively pursue available funding options to deliver the approved capital raise.
Management disclosed that a mix of market-based instruments, including a rights issue and other permissible fundraising structures, would be deployed to ensure timely and effective capital mobilization.
The company noted that the commitments underscore investor confidence in its growth strategy, governance framework, and long-term outlook. Proceeds from the capital raise are expected to strengthen the balance sheet, enhance underwriting capacity, and provide greater flexibility for expansion across core insurance segments.
Existing shareholders have also been advised to look out for the forthcoming rights issue, which will allow them to participate proportionately in the capital expansion.
Management reaffirmed its commitment to transparency and full regulatory compliance throughout the fundraising exercise.
According to the company, the capitalization drive is a strategic step aimed at sustaining competitiveness, improving risk-bearing capacity, and positioning the business for long-term growth within Nigeria’s insurance market, while supporting broader industry efforts to strengthen financial resilience and protect policyholders’ interests.
