Enko Capital Managers (“ECM”), management fund of Enko Africa Private Equity Fund (“EAPEF”), announces on January 22, 2022 its exit from Law Union Rock Insurance (LUR), a Nigerian company listed on the Lagos Stock Exchange ( NSE). EAPEF’s holdings were sold to the Nigerian fund Verod Capital through its Kanuri LUR vehicle. Verod thus acquired 100% of the company, following the acquisition of Metropolitan Life and ARM Life. These operations are creating momentum in the Nigerian market.
The sale of EAPF shares traded on the basis of 1.23 naira per share has received the approval of the National Insurance Commission (NAICOM) and the Securities and Exchange Commission (SEC), respectively regulator of the insurance sector and the market scholarship. As a reminder, Cyril Nkontchou’s EAPF made its investment in LUR in 2017 through a subscription to an issue of subscription rights. The exit was approved during the 51st session of the general meeting of shareholders in September 2020. Verod’s entry comes as the Nigerian regulator has raised the minimum capital from 3 to 10 billion naira since December 31 3021, from $7.2 million to $24 million.
Reacting to the operation, Cameroonian Cyril Nkontchou, Managing Partner of Enko, welcomes this second successful exit from his portfolio of 7 investments. Completion of the transaction had been delayed by the pandemic and currency shortage.
