LASACO Insurance Plc has been granted approval by its shareholders to raise N10 billion capital through special/private placement.
The shareholders gave the approval at the firm’s 39th annual general meeting in Lagos.
The underwriting firm planned to raise additional capital through the issuance of up to 9.25billion ordinary shares of N0.50k each at N1.20k per share by way of special/private placement.
The shareholders also gave a go-ahead to the management to reconstruct its existing ordinary shares of 7,334,344 on the basis of one new share for every four shares previously held.
LASACO also got the nod for the sum of N2,749,279,000 representing the surplus nominal value of the reconstructed shares to be transferred into the share reserve account, and form part of the shareholders’ funds of the company and that the reconstructed 1,833,586,000 ordinary shares of 50k each, be revalued in accordance with the ratio of reconstruction, subject to appropriate regulatory consent and be listed on the Nigerian Stock Exchange (NSE).
Speaking on the financial performance of the company, the Chairman, Mrs. Aderinola Disu, said the firm grew its gross premium income by 35 per cent from N6.6 billion recorded in 2017 to N9.0 billion in 2018.
Disu also stated that the net underwriting income increased by 25 per cent from N3.67 billion in 2017 to N4.59 in 2018, while the net claims expenses decreased by 5 per cent from N1.9 billion incurred in 2017 to N1.8 billion in 2018.
She thereafter, reiterated that the firm will continue to concentrate on the approaches that have given it utmost dividend and remain committed to continued delivery of excellent services to its customers.
On his part, the Managing Director/Chief Executive Officer, Segun Balogun, expressed optimism that the firm would scale the recapitalisation hurdles adding that, the board and management have set in motion all necessary machineries to ensure the firm meets the N18 billion minimum capital requirement.
