LASACO Assurance Plc is set to raise N10 billion additional capital through its existing and new shareholders.
The company which planned to raise the additional capital through public offer, special placement or right issues and preference shares, said the move is part of plans to be a tier one player by the time the Tier-Based Minimum Solvency Capital (TBMSC) takes off.
Speaking at an Extra Ordinary General Meeting (EGM) of the firm in Lagos, Chairman of the company, Mrs. Aderinola Disu, said, “Lasaco plans to create additional 10 billion shares at 50 kobo per share, translating to a new N5 billion to be raised through public offer, special placement or right issues.
We also intend to raise another additional N5 billion from preferential shares at N500 per share, thereby, bringing the expected funds to be raised to a total of N10 billion.”
Speaking on behalf of shareholders, Founder, Independent Shareholders Association of Nigeria (ISAN), Sir Sunny Nwosu, advised the company to adopt the option of preferential shares, while reducing its ordinary shareholders, a decision, he said, would allow shareholders get good returns on investments, especially, through the preferential shares.
The board of directors of the firm later agreed to this, thereby, amending the special business of the meeting to include the demand of shareholders.