Royal Exchange Plc has sold 21.4 percent equity stake to Nexamont Company Limited.
In a recent corporate filing on the Nigerian Exchange Limited (NGX), OOT Nominees, company secretary of Royal Exchange, said Nexamont bought 1.77 billion units of the insurer’s ordinary shares through the secondary market.
According to the company, the transaction makes Nexamont a beneficial owner of 21.4 percent of Royal Exchange, up from the 19.08 percent (1.58 billion shares) it held as of the company’s half-year report.
“Royal Exchange Plc received a letter from Nova Finance Securities Limited, the financial advisers to Nexamont Company Limited, notifying the company that Nexamont has acquired 1,770,499,535 units of ordinary shares of Royal Exchange Plc through the secondary market,” the statement reads.
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“This represents at least 21.4 per cent equity stake in the company.”
The company said the acquisition was in line with Rule 17.13 (a), Part II of the Rulebook of NGX, which mandates disclosure of substantial shareholding to the exchange, shareholders, and the investing public.
Royal Exchange, being one of the oldest insurance companies in Nigeria, began operations in 1918.
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The company also has interests in subsidiaries including REX Insurance (formerly Royal Exchange General Company Limited), Royal Exchange Micro Limited, and DotHMO (formerly Royal Exchange Healthcare Limited).
