Shareholders of Royal Exchange Plc have frowned at the inability of MediPlan Healthcare Limited to recapitalise Royal Exchange Prudential Life Assurance Company Limited (REPRU) during the capital injection requirements mandated by the National Insurance Commission (NAICOM).
The shareholders noted that MediPlan intentionally defaulted.
NAICOM revoked REPRU’s operational license on August 4, 2026, directly resulting from the missed deadline. The regulatory body subsequently appointed Receiver and Temporary Liquidator to oversee the entity’s winding-down process.
Detailing the background of the transaction, the shareholders noted that Royal Exchange Plc had divested REPRU to MediPlan in 2022. However, in addition to defaulting on its recapitalisation obligations, MediPlan failed to fulfill all other terms of the Share Sale Agreement and subsequently refused to return the business to Royal Exchange Plc as contractually required upon default.
In a bid to rescue the firm prior to the regulatory action, Royal Exchange Plc obtained approval from its shareholders in July 2026 to reacquire and recapitalise REPRU.
The initiative was aimed at ensuring full regulatory compliance, safeguarding policyholders’ interests, and preserving shareholder value.
The shareholders reaffirmed that Royal Exchange Plc remains firmly committed to maintaining high standards of corporate governance and regulatory compliance.
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Read Full Article by Modestus Anaesoronye at businessday.ng
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