Guinea Insurance deposits N1.5 billion with CBN to meet NIIRA capital requirement 

Guinea Insurance Plc has deposited N1.5 billion with the Central Bank of Nigeria in compliance with statutory requirements under the Nigerian Insurance Industry Reform Act (NIIRA) 2025.

This was confirmed in a statement signed by the Company Secretary, Chinenye Nwankwo, and sent to shareholders on Monday, June 8, 2026.

The company said the deposit represents 10% of the minimum capital requirement applicable to non-life insurance companies and marks another step in its recapitalization programme ahead of the industry deadline.

What they are saying 

Guinea Insurance said the N1.5 billion deposit brings it into compliance with the statutory deposit requirement prescribed under NIIRA 2025, reflecting its commitment to meeting all regulatory requirements within the stipulated timelines.

• “In compliance with the provisions of the Act, the Company has remitted the required statutory deposit to the Central Bank of Nigeria (CBN), bringing its total statutory deposit balance to N1.5 billion, representing 10% of the minimum capital requirement applicable to non-life insurance companies,” the company said.
• “The Board and Management appreciate the continued confidence, loyalty, and support of shareholders, policyholders, brokers, customers, and business partners as the Company progresses toward its strategic growth objectives.”  

The company added that the development is part of its broader recapitalisation programme and its ongoing efforts to strengthen its capital position.

More insights 

The development comes barely two months after Guinea Insurance Plc opened a N5.8 billion Rights Issue as part of efforts to strengthen its capital base ahead of the July 2026 recapitalisation deadline.

The capital raise also aligns with its application to Nigerian Exchange Limited, where the underwriter had sought approval to raise N5.30 billion through a rights issue.

• The offer consists of 5,295,200,000 ordinary shares of 50 kobo each, priced at N1.10 per share.
• The shares were offered on the basis of two new shares for every three existing shares held as of January 21, 2026.
• The Rights Issue is positioned as a strategic initiative beyond regulatory compliance.

Management said the capital injection will enhance operational capacity and market positioning.

The additional funds are expected to improve the company’s underwriting capacity across key sectors of the Nigerian economy while supporting investments in technology, digital transformation, and operational efficiency.

What you should know 

Nairametrics had earlier reported that Guinea Insurance’s Rights Issue appeared modestly attractive at first glance.

The analysis noted that the 2.65% discount to the market price offered little immediate arbitrage opportunity, while the deeper discount to historical prices reflected more of where the stock had been than where it was heading.

The post-offer fair price of N1.12 sits just below the current market price, pointing to a slight downside risk for shareholders who do not participate in the offer.

Between 2021 and 2025, Guinea Insurance’s profit after tax was volatile, with losses of N36 million and N83 million in 2021 and 2022.

Profit recovered to N478 million in 2023 and peaked at N937 million in 2024, before falling sharply to N353 million in 2025.

Cumulatively, the company generated N1.295 billion in profit over five years, significantly lower than the N5.82 billion it is seeking to raise through the Rights Issue.