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Regency Alliance Insurance Plc has announced the successful completion of a N6.04 billion capital raising programme, saying the exercise has positioned the company above the N15 billion minimum capital requirement for non-life insurers under the Nigerian Insurance Industry Reform Act (NIIRA) 2025.
The disclosure was contained in a statement signed by the Company Secretary, Anu Shobo, on August 3, 2026.
The announcement comes days after the National Insurance Commission (NAICOM) published a list of 43 insurance and reinsurance companies that met the July 31 recapitalisation deadline, with Regency Alliance not included among the compliant operators.
What they are saying
According to the company, the Board of Directors approved a multi-phased capital raising programme comprising a rights issue and a private placement targeted at strategic investors as part of its recapitalisation strategy.
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The insurer disclosed that both transactions were successfully completed in July 2026.
- “Both the Rights Issue and Private Placement were successfully completed in July 2026. The sum of N2,540,666,000 was raised from the Rights Issue, whilst the sum of N3,500,000,000 from the Private Placement, making a total of N6,040,666,000″.
- “This, when combined with the Company’s existing admissible assets, less the admissible liabilities, will position the Company above the N15 billion minimum capital requirement for general insurance companies prescribed by NIIRA 2025,” the company stated.
Regency Alliance added that all necessary regulatory approvals had been obtained and the proceeds transferred into a dedicated Central Bank of Nigeria (CBN) account.
The company also confirmed that approval for the allotment of shares under both the rights issue and private placement had been received from the Securities and Exchange Commission (SEC) and was currently being processed.
The insurer said it has submitted all relevant documentation to NAICOM and is currently undergoing the regulator’s verification process.
- “Relevant verification documents have been submitted to NAICOM and the Company is currently undergoing verification.”
The statement suggests that Regency Alliance expects to secure formal confirmation of compliance once the verification exercise is completed.
More insights
The recapitalisation effort was anchored on a private placement involving 7.37 billion ordinary shares targeted at strategic investors.
- A formal signing ceremony for the transaction was held on July 10, 2026, at the company’s headquarters in Gbagada, Lagos.
- According to the insurer, the private placement was structured to strengthen its capital base, improve solvency margins, enhance underwriting capacity and support future business expansion.
- The offer opened on July 15 and closed on July 16, 2026.
- Regency Alliance noted that the transaction was designed to attract investors capable of providing not only capital but also industry expertise, long-term commitment and greater market credibility.
The private placement followed a N3.04 billion rights issue launched weeks earlier, which gave existing shareholders an opportunity to increase their stake in the company while supporting its recapitalisation objectives.
What you should know
The development comes as Nigeria’s insurance industry concludes a major recapitalisation exercise under the Nigerian Insurance Industry Reform Act (NIIRA) 2025.
- On Monday, NAICOM confirmed that 43 insurance and reinsurance companies had met the new minimum capital requirements following the expiration of the July 31, 2026 deadline.
- The compliant operators comprised 23 non-life insurers, 10 life insurers, eight composite insurers and two reinsurers.
The recapitalisation programme was introduced to strengthen the financial capacity of insurance companies, improve claims-paying ability and enhance the industry’s resilience.
For Regency Alliance, the focus now shifts to obtaining final regulatory verification from NAICOM, which would formally confirm its compliance with the new capital regime.
