Guinea Insurance Plc says it has surpassed the National Insurance Commission’s (NAICOM) N15 billion minimum capital requirement for non-life insurers after completing a recapitalisation exercise that raised about N12.6 billion in fresh equity.
Managing Director Ademola Abidogun said in a statement over the weekend that the capital was raised through a hybrid offer comprising a rights issue and a private placement, both conducted in line with regulatory requirements and cleared by the Securities and Exchange Commission. Combined with the insurer’s existing paid-up capital, the proceeds place the company’s capital above the N15 billion regulatory minimum, subject to NAICOM’s final verification.
The capital raise concludes a process that began in December 2025, when shareholders approved an increase in the company’s authorised share capital from N4 billion to N19 billion, expanding issued shares from 8 billion to 38 billion ordinary shares of 50 kobo each.
Under the exercise, Guinea Insurance offered up to 5.29 billion ordinary shares to existing shareholders through a rights issue, while a private placement covered up to 6.32 billion ordinary shares at N1.45 per share.
The company is among the first non-life insurers to publicly announce compliance ahead of NAICOM’s July 31 deadline for the industry-wide recapitalisation exercise mandated under the Nigerian Insurance Industry Reform Act (NIIRA) 2025. The legislation raised minimum capital requirements to N10 billion for life insurers, N15 billion for non-life insurers, N25 billion for composite insurers and N35 billion for reinsurers, representing a significant increase from the previous thresholds.
NAICOM has described the recapitalisation exercise as a major milestone aimed at building a stronger, better-capitalised and more resilient insurance industry. While the regulator has confirmed that dozens of insurers have met the new requirements, eight companies remain under final verification after submitting evidence of compliance close to the deadline.
For Guinea Insurance, the successful capital raise closes a long-standing capital gap and reflects a broader trend of insurers turning to the capital market, rather than mergers and acquisitions, to satisfy the new regulatory requirements. The company’s shares have also attracted increased investor interest in recent weeks as the recapitalisation exercise progressed.
NAICOM’s verification process will ultimately determine Guinea Insurance’s compliance status, with the regulator expected to conclude its review of the remaining outstanding cases in the coming weeks, providing a clearer picture of the industry’s transition to the new capital regime.
