Universal Insurance secures N7.13bn investment to meet recapitalisation target
UNIVERSAL Insurance Plc has disclosed plans to raise N7.128 billion in fresh equity capital from FPNG Co-Nvest Limited as it works to complete the ongoing insurance industry recapitalisation process.
The insurer disclosed this in a market update issued on August 14, 2026, following a request by NGX Regulation Limited (NGX RegCo) for clarification after a publication on the progress of insurance companies under the recapitalisation exercise.\
Universal Insurance said it had entered into a binding investment agreement with FPNG, under which the investor will inject N7.128 billion through a private placement in exchange for additional shares in the company.
READ ALSO: Guinea Insurance completes N1.5bn statutory deposit under new insurance reform law
Upon completion of the transaction, FPNG is expected to become the majority shareholder in Universal Insurance, with a 50.1 percent equity stake.
The company said its board and management are currently engaging with the National Insurance Commission (NAICOM) and other relevant regulators to conclude the transaction.
According to Universal Insurance, completing the deal will enable the company to exceed the applicable regulatory capital requirement while maintaining a strong solvency position.
The insurer said all necessary approvals from its board and shareholders for the transaction have already been obtained.
Universal Insurance added that it remains committed to meeting all regulatory requirements and will continue working with NAICOM on the remaining stages of the recapitalisation process.
The company said it would continue to provide the Nigerian Exchange Limited, shareholders and the investing public with updates on any material developments relating to the transaction, in line with applicable NGX rules.
Related Articles
The planned capital injection comes as Nigeria’s insurance industry undergoes a sector-wide recapitalisation exercise led by NAICOM to strengthen insurers’ financial capacity and improve their ability to underwrite larger risks.
National Insurance Commission (NAICOM) on Friday confirmed that 7 more insurance companies had met recapitalisation requirements under the Nigerian Insurance Industry Reform Act (NIIRA) 2025.
The brings the number of compliant insurance companies to 50. NAICOM had cleared 43 insurers on August 3.
Tags
Tags
About the Author
Stella Odiche
Researcher-Reporter
Lagos, Nigeria
Stella Odiche is a researcher and reporter. She lives in Lagos and reports topics such as aviation, oil and gas, banking and general business. She is award-winning journalist and wideliy travelled researcher.
