Neimeth International Pharmaceuticals Plc has commenced trading in its N2.44 billion rights issue on the Nigerian Exchange (NGX), offering shares at N4.00 each as part of its capital raising programme.
- +Neimeth opens N2.44 billion Rights Issue at N4 per share
The development was disclosed in a market bulletin issued by NGX Regulation to dealing members.
The development was disclosed in a market bulletin issued by NGX Regulation to dealing members.
The offer, which opened on Monday, April 27, 2026, is expected to provide fresh funding to support the company’s operational and growth objectives while giving existing shareholders an opportunity to maintain their stakes.
The rights issue is structured to raise approximately N2.44 billion at an offer price of N4.00 per share, indicating a significant capital injection into the business. The offer reflects a strategic balance between raising funds and preserving shareholder value through proportional allocation.
With the one-for-seven ratio, the structure ensures that shareholders who fully subscribe can retain their ownership proportions while supporting the company’s recapitalisation efforts.
The capital raise aligns with the broader strategy of Neimeth International Pharmaceuticals Plc to strengthen its operations and expand production capacity in a competitive pharmaceutical market.
Overall, the pricing strategy and structure suggest an attempt by management to quickly mobilise funds while incentivising uptake among shareholders.
The rights issue comes on the back of a strong financial turnaround by the company, signaling improved performance and renewed investor confidence. Recent financial results indicate that the company is recovering from prior losses and stabilising its operations.
The rights issue is therefore viewed as a strategic move to reinforce the company’s balance sheet, support working capital needs, and sustain its recovery trajectory amid ongoing economic challenges such as rising input costs and currency volatility.
