STI gets approval for extension of rights issue

Sovereign Trust Insurance Plc (STI) has extended its Rights Issue offering, which opened on Monday, June 24, 2019, following the approval from the Securities and Exchange Commission (SEC).

The Rights Issue which ought to have closed on Wednesday, July 31, 2019, will now run through August 2019.

According to a statement by the company’s spokesperson, Segun Bankole, said the extension of the Rights Issue was to allow shareholders ample time to subscribe fully to the offer.

He said such unique opportunity does not come that often which was what informed the decision of the Management to request for an extension in the closing date of the Rights Issue offer.

Consequently, the management enjoins all shareholders of the company to take advantage of this extension in date to fully exercise their rights as that will guarantee the consolidation of their ownership in one of Nigeria’s very dynamic and forward-looking underwriting firm. The company, more than ever before, is poised to take the insurance business to a greater height as it gravitates to the next phase of its growth agenda.

A total of 4,170,411,648 units of ordinary shares at 50 kobo each has been placed on offer for existing shareholders at 50 kobo per share on the basis of one new ordinary share for every two ordinary shares of 50 kobo held in the company as at the close of register on January 15, 2019.

The Managing Director of the company, Olaotan Soyinka, also reiterated that the company has set a growth agenda, which is aimed at positioning the insurance company as one of the top players in the industry, particularly, in the oil and gas sector where it has developed very unique expertise and professionalism over the years.

He also called on the company’s Shareholders to lend their support to the Rights Issue with the new date extension. He said the actualization of the set objectives of the growth agenda of the company remains sacrosanct.

Soyinka equally 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 subscribe to the Rights Issue,” he said.