Regency Alliance Insurance Plc has launched a ₦7 billion private placement as it intensifies efforts to meet the National Insurance Commission’s (NAICOM) July 31, 2026 deadline for compliance with the industry’s new minimum capital requirements.
The insurer disclosed in a statement dated July 13, 2026, and signed by its Company Secretary, Anu Shobo, that it is offering 7.37 billion ordinary shares of 50 kobo each at 95 kobo per share under a Board-approved, multi-phased recapitalisation programme aimed at strengthening its financial position and supporting long-term growth.
The placing list is scheduled to open on July 15 and close on July 16, giving prospective investors a two-day subscription window. The accelerated timetable underscores the urgency among Nigerian insurers to complete capital-raising initiatives before the regulatory deadline.
A formal signing ceremony for the transaction was held on July 10 at the company’s headquarters in Gbagada, Lagos, with representatives of the Board, issuing houses, financial advisers, legal advisers, stockbrokers and other stakeholders in attendance.
Investment One Financial Services Limited is serving as the Lead Issuing House, while Radix Capital Partners Limited is acting as Joint Issuing House. Greenwich Merchant Bank Limited is the Financial Adviser to the transaction.
According to the company, proceeds from the private placement will strengthen its capital base, improve solvency margins, expand underwriting capacity and support investments in technology, product development and customer experience. The insurer said the offer is targeted at strategic institutional investors capable of contributing both capital and industry expertise.
Regency Alliance added that the exercise reflects confidence in its corporate governance framework, risk management practices and long-term growth strategy, describing the transaction as a key milestone in its recapitalisation programme.
The fundraising follows the successful completion of the company’s ₦3.04 billion rights issue, highlighting its multi-stage approach to meeting the new regulatory capital threshold.
The capital raise comes as insurers race to comply with the Nigerian Insurance Industry Reform Act (NIIRA) 2025, which significantly raised minimum paid-up capital requirements across the sector. Under the reforms, life insurers must maintain a minimum capital of ₦10 billion, non-life insurers ₦15 billion, composite insurers ₦25 billion, and reinsurers ₦35 billion.
NAICOM granted operators a 12-month transition period to meet the revised requirements, with the deadline set for July 31, 2026. Companies that fail to comply could face regulatory sanctions, including restrictions on operations or the possible loss of their operating licences.
Industry analysts say the recapitalisation exercise is expected to create a stronger and more resilient insurance sector by enabling companies to underwrite larger and more complex risks, improve claims-paying capacity and reinforce confidence among policyholders, investors and other market participants.
Regency Alliance said it remains committed to completing the private placement in a transparent and orderly manner while maintaining high standards of corporate governance and full regulatory compliance.
