Nexamont Company Limited has acquired a 21.4 per cent equity stake in Royal Exchange Plc, further consolidating its position in the Nigerian insurance and financial services group.
In a corporate disclosure filed with the Nigerian Exchange Limited (NGX) by the Company Secretary, OOT Nominees, Royal Exchange confirmed the acquisition following a notification from Nova Finance Securities Limited, the financial advisers to Nexamont. The acquisition was carried out through the secondary market.
According to details provided, Nexamont now holds 1,770,499,535 units of ordinary shares in Royal Exchange Plc, translating to a 21.4 per cent equity position. This represents an increase from the company’s half-year report, which showed that Nexamont previously held 19.08 per cent of the company’s issued shares, amounting to 1,577,399,535 units.
The disclosure noted: “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. This represents at least a 21.4 per cent equity stake in the company. Pursuant to Rule 17.13 (a), Part II of the Rulebook of Nigerian Exchange Limited, the company wishes to inform the Exchange, its shareholders, and the investing public that Nexamont Company Limited is now a beneficial owner of 1,770,499,535 ordinary shares in Royal Exchange Plc.”
The transaction underscores Nexamont’s increasing interest in Royal Exchange, one of Nigeria’s oldest financial services institutions. Incorporated in 1969 and listed on the NGX, Royal Exchange Plc has a long history in insurance and financial intermediation. The company currently operates through its subsidiaries and associates, which include Royal Exchange General Company Limited (now REX Insurance), Royal Exchange Microfinance Limited, and Royal Exchange Healthcare Limited (rebranded as DotHMO).
Royal Exchange, through these subsidiaries, provides services ranging from general and health insurance to microfinance. The group has undergone restructuring in recent years, aimed at strengthening its capital base and repositioning its businesses for sustainable growth in the Nigerian market. The latest acquisition by Nexamont is expected to provide additional momentum for the group’s transformation, as it signals investor confidence in the company’s long-term prospects.
With the acquisition, Nexamont becomes one of the largest beneficial shareholders of Royal Exchange Plc. The company’s growing stake also aligns with recent trends in the Nigerian insurance industry, where consolidation and strategic investments are reshaping the competitive landscape. Industry analysts suggest that such moves could improve efficiency, expand distribution networks, and enhance capital adequacy in a sector that has faced challenges with undercapitalization and low penetration.
The increased shareholding may also give Nexamont a stronger voice in the strategic direction of Royal Exchange Plc, particularly as the group looks to deepen its footprint in the insurance, healthcare, and financial services sectors. Market watchers expect that the development will strengthen Royal Exchange’s ability to compete in a fast-evolving operating environment, where technology, product innovation, and customer-centricity are becoming key drivers of success.
