The shareholders of SUNU Assurances Nigeria Plc have approved a recapitalisation plan that will enable the company to raise up to N9bn to meet the new minimum capital requirement for non-life insurers under the Nigerian Insurance Industry Reform Act 2025.
The approval was granted at the company’s Extraordinary General Meeting held in Lagos.
Earlier in the year, The PUNCH reported that the parent company of the firm, SUNU Group, vowed to meet any recapitalisation thresholds set by the authorities.
With the backing of the shareholders, the Board of Directors has now been empowered to raise capital through a mix of rights issues, private placements, public offers or any other fundraising structure, subject to regulatory approval. The board was also authorised to increase the company’s share capital as required, allot new shares, trade untaken rights, engage advisers, and register all changes with the Corporate Affairs Commission.
Speaking at the meeting, Chairman of the Board, Mr Kyari Bukar, said the recapitalisation was necessitated by the NIIRA 2025 regime, which raised the MCR for non-life insurers from N3bn to N15bn with a compliance deadline of 30 July 2026.
“As at 30 September 2025, the company requires N9bn to close the gap, which makes it imperative that we take decisive action to strengthen our capital base,” he said.
Bukar added that the recapitalisation would enhance SUNU’s balance sheet, deepen underwriting capacity, attract fresh investment and reinforce market presence. He also disclosed that the company plans to address its free-float deficiency on the Nigerian Exchange as part of the capital-raising exercise.
He noted that SUNU has maintained strong dividend consistency for the past four years and has continued to grow shareholder value.
Speaking to journalists after the meeting, Bukar stated, “We will go in full force using a combination of rights issue, public offer, private placement or strategic investment.
The goal is to meet NAICOM’s requirement ahead of the July 2026 deadline.”
Managing Director/Chief Executive Officer, Mr Samuel Ogbodu, revealed that the SUNU Group, which currently holds 83 per cent equity, intends to reduce its stake to 70 per cent to enable more Nigerian investors to participate in the company.
“This EGM was crucial for transparency and shareholder involvement. We now have full authority to proceed with the capital raise,” Ogbodu said.
He added that SUNU’s share price, which once rose to N11 and now trades between N4.70 and N5.70, is expected to double within six months based on the company’s growth plans.
Executive Director, Mr Elie Ogounigni, reaffirmed SUNU Group’s commitment to the Nigerian market, saying:
