Firm Moves To Float Rights Issue Of N3.67 Billion

Following the completion of the board meeting of Neitmeth International Pharmaceuticals Plc held in Lagos, the company has decided to float a rights issue of N3.67 billion through the Nigerian capital market.

N3,679,618,625 would be raised from the rights issue at the cost of N1.55k per 50 Kobo share and would take place in August.

According to the firm, the shareholders in March 2022 at the 63rd annual general meeting approved the creation of 2,373,947,500 additional ordinary shares which would be allotted at the rate of five new shares for every four shares currently held in the company.

According to Dr Ambrosie Orjiako, the Chairman of the Board, the money is being raised to construct a new multi-products facility that would be tailored to comply with the World Health Organization’s current standards of Good Manufacturing Practice at Amawbia in Anambra State.

“It is also to be used to support the company’s strategic plan of maintaining a sustainable capital structure, leverage the company’s balance sheet, reduce the cost of borrowing or finance costs, and fund working capital,” he said.