Cornerstone Insurance Plc Launches Scheme of Arrangement
Cornerstone Insurance Plc has filed a notice with NGX announcing a Scheme of Arrangement to separate its composite insurance operations into distinct entities. The scheme will transfer life insurance assets to Cornerstone Life Assurance Limited and non-life assets to FIN Insurance Company Limited, with the parent company to be renamed Cornerstone Holdings Plc.
Cornerstone Insurance Plc (CORNERST) notified the Nigerian Exchange Limited on June 10, 2026 that it has commenced a Scheme of Arrangement pursuant to the Nigerian Insurance Industry Reform Act 2025 and Section 711 of CAMA 2020. The scheme involves the separation of the company's composite general and life insurance operations into standalone entities.
Under the terms, the company's life insurance assets, liabilities, and undertakings will be transferred to its wholly owned subsidiary, Cornerstone Life Assurance Limited. Its non-life insurance assets, liabilities, and undertakings will be transferred to FIN Insurance Company Limited, in which it holds a 96.68% stake.
Upon completion, the resulting group structure will comprise four entities: Cornerstone Holdings Plc (the renamed listed parent), Cornerstone Life Assurance, Cornerstone General Insurance Limited (a renamed FIN Insurance), and Hilal Takaful Nigeria Limited for Islamic insurance business.
The Securities and Exchange Commission has issued a No Objection to the scheme. However, the scheme remains subject to approval by shareholders of the company and its subsidiaries at separate Court-Ordered Meetings, as well as sanction by the Federal High Court. A Scheme Document will be dispatched to shareholders following a court order to convene the meeting.
