Cornerstone Board Okays Capital Raising Via 7 To 30 Bonus Shares
Cornerstone Insurance board of Directors, in a move to lift the firm’s capital base, has endorsed issuance of bonus share issues to existing shareholders of the company, in the proportion of 7 ordinary shares to existing 30 shares held by shareholders.
The company’s secretary, PAC Solicitors, in a signed statement disclosed that the bonus share issuance, was part of the resolutions reached by the board of Directors in its board meeting held on July 22. ‘’In line with Rule 19.2 (a) of the Issuers Rules Relating to Board Meetings and General Meetings of Issuers, Cornerstone Insurance PLC (“The Company”) wishes to inform its esteemed Shareholders, Stakeholders, The Nigerian Stock Exchange (“The Exchange”) and the general public that at the Board Meeting of the Company held on July 22, 2020”
Among the resolutions reached by the board, include consideration of the Unaudited Financial Statements (UFS) for the Second Quarter ended June 30, 2020 and “ The transfer of One Billion, Seven Hundred and Eighteen Million (₦1,718,000,000) from the Company’s share premium account to the share capital account by issuing bonus shares in the proportion of seven (7) new shares of fifty Kobo each for every thirty (30) existing shares of fifty kobo each, to achieve the Company’s recapitalization plan”
The company further explained that, ‘” The issuance of bonus shares to Shareholders of the Company subject to the approval of the Shareholders at the Annual General Meeting of the Company”
According to Cornerstone Insurance company secretary, “The Board approved UFS for the 2020 Second Quarter will be filed with the Nigerian Stock Exchange and the Securities and Exchange Commission on or before 30 July, 2020 and published to the general public”.