Eaton Acquisitions Limited, an investment company, has increased its stake in NEM Insurance to nine percent.
The company had recently announced a four percent acquisition of the insurance company, acquiring 130 million shares at N4 each.
While the N4 is higher than the closing share price of N2.85, the new shares were acquired at a lower value.
Eaton is seeking to acquire 10% of the insurance company.
“There is no better option in the market from the perspective of effective leadership, strategic opportunities and reforms for growth in the industry, broad sharing holding base that engenders good corporate governance, and a network of current and potential shareholders for enhanced business development,” Olaleye Adeyinka, Eaton Acquisitions’ managing director, said.
“We can’t say much about the strategic vision of the company yet as it is in the purview of management and the board, but we have unalloyed confidence in both organs of the company’s governance.”
“We intend to acquire more shares until we meet the mandate of our Board to acquire 10% of the company’s shares.”
Although he expressed confidence in the ability of NEM’s leadership, the Eaton boss said his company is targeting board representation considering its dominant shareholding stake in the company.