Universal Insurance's N7.1bn Deal Faces Licence Revocation

Universal Insurance Plc's recapitalisation effort of N7.128bn has been thrown into jeopardy following the National Insurance Commission's (NAICOM) revocation of its operating licence on 19 August. This action was taken due to the insurer's failure to meet the regulatory minimum capital requirement within the stipulated compliance period.

On 14 August, Universal Insurance announced to the Nigerian Exchange Limited that it had secured a N7.128bn equity investment from FPNG Co-Nvest Limited, which would grant FPNG a 50.1% controlling stake in the company. Despite having secured necessary board and shareholder approvals for the investment, NAICOM's intervention has placed the transaction and the company's future under a receiver-led process.

Ogbonna Chukwumerije, a Partner at Pinheiro LP, has been appointed as the receiver/provisional liquidator to manage the winding up of Universal Insurance's affairs, including tracing and securing its assets and settling liabilities as per the Nigerian Insurance Industry Reform Act 2025.