By David Akinmola
Linkage Assurance Plc has successfully raised N16.2 billion through a fully subscribed rights issue, adding momentum to the insurance industry’s recapitalization drive as operators seek to meet the new capital requirements under the Nigerian Insurance Industry Reform Act (NIIRA) 2025.
The insurer said the capital rising, which involved 12.32 billion ordinary shares at N1.32 per share, was fully subscribed, underscoring shareholders’ confidence in the company’s growth strategy and positioning it to meet the regulatory capital thresholds prescribed by the National Insurance Commission (NAICOM).
The Rights Issue, which opened on March 11 and closed on April 23, 2026, has received the approval of the Securities and Exchange Commission (SEC), with all allotted shares now listed on the Nigerian Exchange Limited (NGX).
The successful exercise adds Linkage Assurance to the growing list of insurers that have raised fresh capital as operators race to comply with the recapitalization requirements introduced under the NIIRA 2025. The reforms require life insurance to maintain a minimum paid-up capital of N10 billion, non-life insurers N15 billion, composite insurers N25 billion and reinsurers N35 billion before the regulatory deadline.
At the weekend, the insurer announced the completion of the offer through a statement saying the successful capital raising reflects sustained investor confidence in its board, management and long-term strategic direction.
Commenting on the development at weekend, the Managing Director/Chief Executive Officer, Linkage Assurance Plc, Daniel Braie, described the successful completion of the Rights Issue as a significant milestone in the company’s growth journey, saying the overwhelming response from shareholders demonstrates strong confidence in the company’s vision and future prospects.
According to him, the successful fundraising not only positions the company to meet regulator’s recapitalization requirements but also provides the financial capacity to execute its long-term growth strategy and enhance value creation for shareholders.
Braie reaffirmed the company’s commitment to regulatory compliance, prudent risk management and operational excellence, noting that Linkage Assurance remains focused on sustaining profitability while expanding its footprint across key sectors of the economy.
The insurer said proceeds from the offer would be utilized to meet NAICOM’s minimum capital requirement and finance business expansion initiatives in line with its long-term strategic objectives.
According to the insurer, the strengthened capital base will enhance its claims- paying ability, increase underwriting capacity and improve service delivery to policyholders in the market.
Industries analysts in the market believe the recapitalization exercise is reshaping the competitive landscape, with stronger capital expected to improve insurer’s risk-bearing capacity, increase underwriting retention, enhance claims-paying ability and reduce reliance on foreign reinsurance for large-ticket risks.
They noted that beyond regulatory compliance, the exercise presents an opportunity for operators to invest in digital transformation, product innovation, distribution channels and human capital to improve insurance penetration, which remains below one per cent of Gross Domestic Product (GDP).
