Universal Insurance Secures N7.1bn Investment for Recapitalisation

Universal Insurance Plc has announced that it has secured a N7.128 billion equity investment from FPNG Co-Nvest Limited as part of its efforts to strengthen its capital base and comply with regulatory requirements under the ongoing insurance industry recapitalisation exercise. This information was disclosed in a market update filed with the Nigerian Exchange Limited on a Friday, following a request for clarification on the company's recapitalisation status from NGX Regulation Limited.

Under a binding investment agreement, FPNG will inject the N7.128 billion through a private placement in exchange for additional shares, resulting in FPNG holding a 50.1% majority stake in Universal Insurance, thereby becoming the controlling shareholder. The company is currently engaging with the National Insurance Commission and other relevant regulators to secure the necessary regulatory clearance for the transaction.

Universal Insurance has obtained the required board and shareholder approvals and is committed to meeting all regulatory conditions associated with the recapitalisation process.