Neimeth International Pharmaceuticals Plc has explained how it plans to raise an additional capital of N5 billion that was ratified by its Shareholders during its last Annual General Meeting.
According to a notice sent to the Nigerian Exchange Group Plc (NGX), the firm explained that it plans to raise the additional capital through rights issue and private placement.
Recall that Nairametrics had earlier reported a resolution reached at the Boards of Directors meeting held by the company on the 15th of January 2021, where it was resolved that the company would raise an additional capital of N5 billion
Sequel to this, the firm in its recently concluded emergency meeting explained that it intend to raise the additional N5 billion capital through the following means;
- Rights Issue of 2,373,947,500 ordinary shares at N1.55 per share, totalling N3, 679,618,625.00. The Rights Issue will be on the basis of 5 new shares for every 4 shares held.
- Special/Private Placement of 628,753,036 ordinary shares at N2.10 per share, totalling N1, 320,381,375.60.
Additionally, the Board agreed to raise the Issued Share Capital of the company from N1, 000,000,000 to N2, 450,929,268 by creating additional 2,901,858,536 units of ordinary shares of 50 kobo per share to accommodate the capital raise.
It is pertinent to note that the fund will help the company’s management to execute key strategies that will reposition the company as a leader in the healthcare industry, with the hope of delivering better returns on investment to shareholders.