AIICO Insurance Plc on Wednesday opened subscription for its N3.5 billion rights issue.
A statement by the insurance giant said the move is aimed at raising the capital of the company.
The statement, signed by the Head, Strategic Marketing & Communications, Segun Olalandu, noted that the exercise will run through Wednesday, October 7, 2020.
AIICO will offer in the rights issue a total 4,357,770,954 ordinary shares of 50 kobo each at 80 kobo per unit on the basis of five new ordinary shares for every 13 ordinary shares held as at the close of business on Monday, June 15, 2020.
The insurance firm’s shareholders now have the opportunity to increase their stakes and reposition themselves in a company with excellent prospects, the statement said.
In his submission, the Managing Director and Chief Executive Officer AIICO, Babatunde Fajemirokun said, “A greater future beacons for all our stakeholders, including shareholders and customers, as this exercise will unlock greater potentials for value creation both in the short and long term.
“It will see the Company emerge stronger and with greater capacity to underwrite more risks.”
AIICO Insurance is a leading composite insurer in Nigeria with a record of accomplishment of serving its clients that dates back over 50 years.
Founded in 1963, AIICO provides life and health insurance, general insurance, investment management and pension management services as a means to create and protect wealth for individuals, families and corporate customers.