Sovereign Trust to raise fresh capital through rights issue
Sovereign Trust Insurance Plc has concluded plans to raise additional capital to expand its businesses through rights issue.
Shareholders of the company had reached a resolution at the 18th annual general meeting held last year, which empowered the directors to raise additional equity capital by way of special placement or Public Offer/Rights Issue or a combination of any of them.
Thus Mr. Wale Onaolapo, Managing Director of insurance company said the management is to embark on another rights issue aimed at consolidating the ownership of the firm by its shareholders.
He said the rights issue which is due to commence very soon will put on offer one new ordinary share for every three ordinary shares of 50 kobo held in the company as at the close of register during the last annual general meeting.
He enjoined all shareholders of the company to take full advantage of the offer by fully exercising their rights in the proposed rights issue as a way of consolidating and increasing their stake in the ownership of the company.
He assured that the company is poised to take the insurance business to a greater height as it gravitates to the next phase of its growth agenda.
“The management of the company has set a growth agenda which is aimed at positioning the underwriting firm as one of the top players in the insurance industry, particularly in the oil and gas sector where it has developed very unique expertise and professionalism,” the MD said.
He noted that the company is committed to creating exceptional value to all its shareholders.
“In achieving the huge tasks that have been placed before us, we have identified that a very robust capital base is critical to the success of the set agenda, hence the need to call on our shareholders to fully exercise their rights by fully subscribing to the rights issue and ultimately grow their investments in the company,” he further said.
He said Sovereign Trust Insurance Plc is working towards being one of the most preferred insurance companies in the country for people to do business with, invest in as well as be the “choice employer of labour.”