BY NKECHI NAECHE-ESEZOBOR-Shareholders of Universal Insurance Plc have approved a series of resolutions authorising the company to raise up to ₦15 billion in fresh capital to meet the Minimum Capital Requirement (MCR) stipulated by regulators.
The approvals were granted at the company’s Extraordinary General Meeting (EGM) held recently in Lagos.
Shareholders of Universal Insurance Plc
Under the resolutions, shareholders empowered the Board of Directors to raise the funds through a combination of public offers, private placements, rights issues, or any other approved methods, either in the Nigerian or international capital markets. The pricing, structure, timing, and tranches of the capital raise will be determined by the board, subject to regulatory approvals.
Shareholders of Universal Insurance Plc
Shareholders also authorised the board to revalidate, regularise, and issue the company’s authorised but unissued legacy shares, comprising 14 billion ordinary shares, for the purpose of the capital-raising exercise. Where the existing unissued shares are insufficient, the board was further authorised to increase the company’s share capital by the required number of ordinary shares and allot them accordingly.
In addition, the board received approval to secure the listing and admission to trading of any securities issued under the capital raise on the Nigerian Exchange Limited (NGX) or any other approved exchange or market.
The resolutions also empowered the directors to appoint professional advisers, engage with regulators, execute relevant documentation, and take all necessary steps to implement the capital-raising programme. The Board was authorised to register any increase in share capital with the Corporate Affairs Commission (CAC) and to file all required statutory returns.
Shareholders further approved amendments to the company’s Memorandum and Articles of Association, where necessary, to reflect the new share capital structure following the exercise. All actions previously taken by the board or its committees in connection with the capital raise and regulatory engagements were ratified and confirmed.
