Regency Alliance Insurance Plc has launched a N3.04 billion rights issue aimed at strengthening its capital base and supporting business expansion.

This was disclosed in a statement dated June 17, 2026, signed by the Company Secretary, Anu Shobo.

The company said the rights issue follows the signing of its execution agreement at its corporate headquarters in Lagos.

It added that the capital raise will enhance underwriting capacity, support digital infrastructure expansion, and fund new product development across Nigeria.

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What they are saying

According to Regency Alliance Insurance, the rights issue gives existing shareholders an opportunity to increase their ownership in the company. The insurer said the offer is part of efforts to sustain value creation through disciplined underwriting, responsive service, and prudent financial management.

  • “The Rights Issue of 3,201,000,000 ordinary shares of 50 Kobo each at 95 Kobo per share, on the basis of one (1) new ordinary share for every five (5) ordinary shares held, is designed to strengthen the Company’s capital base, improve underwriting capacity, and fund key investment in technology, product innovation, and customer experience,” the statement reads.

Speaking at the signing ceremony, Chief Wale Taiwo, SAN, Acting Chairman of Regency Alliance, said the signing is a testament of belief.

  • “Today’s signing is more than a formality. It is a statement of belief – belief in our people, our strategy and the trust our customers and shareholders have placed in us over the years. This capital raise will give us the firepower to meet evolving risks, expand our reach, and deepen the promise we make to every policyholder that Regency Alliance will be there when it matters most.”

Also commenting, the Managing Director, Mr. Bode Oseni said the capital raise will enable the company to introduce innovative product tailored to SMEs and Gen Z.

  • “The proceeds from this Rights Issue will accelerate our digital transformation, enhance claims efficiency, and enable us to introduce innovative products tailored to SMEs, Gen Z, and other underserved segments across Nigeria and beyond.”

The company said the offer is also expected to support its long-term growth plans and improve its ability to respond to changing risks in the insurance market.

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Regency Alliance added that the purpose of the rights issue is to bolster solvency, support business growth, and invest in digital infrastructure and new product development. The company noted that existing shareholders will be given the right to subscribe for additional shares in proportion to their current holdings.

  • The rights issue involves 3.201 billion ordinary shares of 50 kobo each at 95 kobo per share.
  • The offer is on the basis of one new ordinary share for every five ordinary shares held.
  • The acceptance list will open on June 22, 2026.
  • The offer will close on July 3, 2026.

Eligible shareholders were encouraged to complete and submit their applications within the stipulated period.

What this means

The rights issue will allow Regency Alliance Insurance to raise fresh capital while giving existing shareholders the opportunity to maintain their level of ownership. The company said this structure protects shareholders from dilution while allowing them to participate in its future growth.

  • The proceeds will support underwriting capacity and also be used to improve claims efficiency.
  • The capital raise will support investments in technology and customer experience.
  • Regency Alliance also plans to develop products for SMEs, Gen Z, and other underserved segments.

The company said that with the agreement now signed and all regulatory approvals secured, it will proceed with shareholder communications and offer implementation in line with the requirements of the Securities and Exchange Commission and Nigerian Exchange Limited.

What you should know

In October, Nairametrics reported that Regency Alliance Insurance sought shareholders’ approval for a N3 billion share issuance. The move formed part of the company’s broader strategy to comply with regulatory requirements, strengthen its financial base, and position itself for future growth.

  • The N3 billion issuance was in response to a regulatory directive requiring insurance firms to increase their capital base.
  • The planned share issuance comes as the Nigerian Insurance Industry Reforms Act 2025 is being implemented.
  • The Act was recently signed into law by President Bola Ahmed Tinubu.
  • The current rights issue builds on the company’s earlier capital-raising plans.

The development reflects Regency Alliance Insurance’s push to improve its capital position while preparing for regulatory and market changes in Nigeria’s insurance industry.