Lasaco Assurance Plc has announced plans to significantly strengthen its financial base, as shareholders approved a ₦25 billion capital raise aimed at tripling the company’s share capital ahead of the insurance industry’s impending recapitalisation deadline.
The approval was granted at an Extraordinary General Meeting (EGM) held on Tuesday, December 9, 2025, according to a disclosure filed with the Nigerian Exchange Limited (NGX).
Capital Expansion Strategy
Under the approved plan, Lasaco Assurance will raise the new funds through a combination of a Rights Issue and a Private Placement. Upon completion, the insurer’s minimum share capital will increase from ₦11.1 billion to ₦36.1 billion, representing a ₦25 billion expansion of its capital base.
The shares to be issued will rank pari-passu with existing shares, ensuring equal rights for both new and current shareholders. Shareholders also authorised the company’s directors to finalise the structure of the offer, seek regulatory approvals, and appoint professional advisers to execute the transaction.
Improving Financial Performance
The capital raise comes amid strong top-line growth for Lasaco Assurance. The company reported revenue of ₦23.8 billion in Q3 2025, up from ₦17.1 billion in the corresponding period of the previous year. However, net profit declined to ₦499 million, compared to ₦1.9 billion recorded in the prior year.
Despite the dip in profit, management views the capital injection as a strategic move to support long-term growth and stability.
Positioning for Future Growth
With the additional capital, Lasaco Assurance aims to:
- Strengthen its core insurance operations
- Expand market presence and underwriting capacity
- Enhance competitiveness within Nigeria’s insurance industry
- Prepare proactively for potential future recapitalisation exercises
Shareholders also approved amendments to the company’s Memorandum and Articles of Association to reflect the new minimum share capital.
The planned fundraising positions Lasaco Assurance to pursue sustainable growth while reinforcing its balance sheet in an evolving regulatory and competitive landscape.
