SUNU moves to rejig board, accelerates growth

SUNU Assurances Nigeria Plc is preparing to overhaul its board and audit framework, seeking shareholder approval for a range of structural reforms aimed at supporting its strategic growth ambitions in Nigeria's dynamic insurance landscape. The insurer has submitted proposals to replace its current external auditor, SIAO Partners, with TAC Professional Services, while also requesting the appointment of three new directors, Lucie Barry, Roland Ouedraogo, and Olayinka Adaramola, to its board. These changes form part of a broader corporate governance initiative designed to align the company with evolving industry standards and regulatory expectations. The proposed restructuring includes the re-election of a retiring director who has expressed intent to remain on the board, ensuring continuity during this transition period. Additionally, the company plans to request a general mandate allowing it to conduct recurring transactions with related parties and other interested individuals as part of routine operations. Such transactions might involve the exchange of goods and services, though they must comply with the Nigerian Exchange Limited guidelines on related-party dealings. Under these rules, interested parties are required to refrain from voting on matters involving their own interests. As part of its governance review, SUNU Assurances is also looking to reinforce its audit oversight mechanisms. Shareholders will be given the chance to nominate members for the Statutory Audit Committee, which must consist of individuals with financial expertise and at least one member affiliated with a recognized professional accounting body in Nigeria. Furthermore, the company seeks authorization for its board to set the remuneration of external auditors for the upcoming 2026 financial year. The decision to appoint TAC Professional Services follows the departure of SIAO Partners, which had been engaged in the audit function. This shift reflects SUNU Assurances' ongoing evaluation of its external audit arrangements to ensure robustness and compliance with best practices. The proposed resolutions aim to secure the necessary governance approvals to enact these changes effectively. To accommodate shareholders unable to attend meetings in person, SUNU Assurances has arranged for live streaming of the proceedings. The insurer has also urged shareholders with outstanding dividends to finalize their e-dividend mandates, aligning with broader regulatory initiatives promoting electronic dividend disbursements. The timing of these proposed changes coincides with a pivotal moment for Nigeria's insurance sector, where enhanced governance structures, adequate capitalization, and improved operational capabilities are gaining prominence. Insurers are increasingly focused on adapting to shifting market dynamics and regulatory frameworks to maintain competitiveness and sustainability. The proposed board and audit modifications underscore SUNU Assurances' commitment to strengthening its internal controls and positioning itself for future expansion. As the company navigates this transformation, it aims to build upon its existing foundation to meet the demands of a rapidly evolving insurance market. The outcomes of the shareholder vote will play a critical role in determining the trajectory of these reforms and the company's ability to execute its strategic objectives.