In compliance with the resolution passed by the Unity Kapital at its last annual general meeting of the company, the Nigerian Stock Exchange today effect the name change of Unity Kapital Plc to Veritas Kapital Assurance Plc, thus the member code also changed from UNITYKAP to VERITASKAP. The shareholders’ resolution is in line with the decision by the company’s new majority core investor – Veritas Capital Limited.
In a regulatory filing at the Nigerian Stock Exchange (NSE), the directors of the insurance company stated that the new name was sequel to the completion of the divestment of Unity Bank from the insurance company.
Veritas Capital acquired 50.3 per cent majority equity owned by Unity Bank Plc in UnityKapital Assurance. The divestment is due to the bank’s move to comply with the Central Bank of Nigeria (CBN)’s banking regulatory regime which required banks to either divest from non-core banking subsidiaries or form a holding company to own subsidiaries.
Recall that, Veritas Capital and Unity Bank had in 2016 executed a Share Sale and Purchase Agreement (SSPA) detailing the terms and conditions of the acquisition of 50.3 per cent equity stake in UnityKapital Assurance. In line with this, in March 2016 a total of 4.16 billion shares of Unity Kapital Assurance were then exchanged in a cross deal at 77 kobo per share to Veritas Capital. This represented the first tranche of 30 per cent equity stake in Unity Kapital Assurance.