BY NKECHI NAECHE-ESEZOBOR—Fortis Global Insurance Plc has commenced the reconstruction of its share capital following the receipt of all required regulatory approvals, a move that will see the company consolidate its issued shares on a one-for-four basis.
In a notice to shareholders, the investing public, and the Nigerian Exchange (NGX), the insurer disclosed that the exercise follows the approval granted by shareholders at the Extraordinary General Meeting (EGM) held on April 4, 2025.
The notice, signed by the Company Secretary and Legal Adviser, Halima Jimada, stated that the company’s issued share capital will be reconstructed from ₦6.46 billion, comprising 12.91 billion ordinary shares of 50 Kobo each, to ₦1.61 billion, comprising 3.23 billion ordinary shares of 50 Kobo each.
Under the approved arrangement, shareholders will receive one (1) new ordinary share for every four (4) existing ordinary shares held.
To facilitate the reconstruction process, Fortis Global Insurance announced that trading in its shares will be suspended for a period of up to two weeks beginning Wednesday, June 17, 2026.
The company also disclosed that its Register of Shareholders will be closed during the period to enable the Central Securities Clearing System (CSCS) Plc and PAC Registrars & Investors Services Limited, the company’s registrars, to complete the share consolidation exercise and prepare an updated register of shareholders.
According to the company, the temporary suspension of trading and closure of the register are necessary administrative steps required for the successful implementation of the reconstruction.
Share capital reconstruction is a corporate action that reduces the number of shares in issue while preserving shareholders’ proportional ownership in the company. Such exercises are often undertaken to improve a company’s capital structure and enhance the attractiveness of its stock to investors.
Fortis Global Insurance assured shareholders that further information regarding the completion of the reconstruction and the resumption of trading will be communicated through the appropriate regulatory channels.
The development marks a significant milestone in the company’s ongoing efforts to strengthen its capital framework and position the business for future growth.
