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Neimeth shareholders approve capital raise for expansion
🇳🇬 Nigeria /Economy & Trade

Neimeth shareholders approve capital raise for expansion

From Vanguard · () English

Translated from English, summarized and contextualized by DistantNews.

At a glance

News Named sources New plan
  • Neimeth International Pharmaceuticals Plc shareholders approved a plan to raise additional capital for expansion.
  • The funds will accelerate the completion of a new world-class pharmaceutical manufacturing facility in Anambra State.
  • The company reported a strong financial turnaround in 2025, with revenue up 64% and a profit after tax of N976.4 million.

Shareholders of Neimeth International Pharmaceuticals Plc have given the green light to a capital raising initiative aimed at fueling the company's expansion and finalizing its state-of-the-art pharmaceutical manufacturing facility in Amawbia, Anambra State.

the new plant, upon completion, serves as a hub for manufacturing local drugs in the country.

— Shareholders' group leadersShareholders urged the Board and Management to ensure the new plant serves as a hub for local drug manufacturing.

The approval came during the company's 67th Annual General Meeting, where shareholders unanimously backed the Board of Directors' resolutions. They emphasized the importance of strategic timing for the capital raise to ensure successful subscription. Shareholder group leaders urged the board to position the new plant as a hub for local drug manufacturing upon its completion.

Christopher Oshiafi, the company's Chairman, acknowledged the shareholders' steadfast support. He noted that a previous N20 billion capital raise program had already seen a successful N2.4 billion Rights Issue. A portion of these funds is allocated to the Amawbia project, but additional financing is necessary for its full execution. Oshiafi stated the facility will adhere to World Health Organization (WHO) standards, enhancing the company's ability to capitalize on opportunities within the African Continental Free Trade Area (AfCFTA).

the facility will meet World Health Organisation (WHO) standards and position the company to take advantage of opportunities under the African Continental Free Trade Area (AfCFTA).

— Christopher OshiafiThe company Chairman explained the strategic importance of the new manufacturing facility.

Managing Director and CEO Valentine Okelu highlighted the project as a strategic priority, reaffirming management's commitment to securing the required funding. This expansion plan follows a significant financial recovery in 2025. Revenue surged by 64%, reaching N7.37 billion from N4.49 billion in 2024, with a profit after tax of N976.4 million, a stark contrast to the previous year's loss of N885.3 million. Okelu attributed this turnaround to improved market reach, enhanced operational efficiency, and successful restructuring of foreign currency obligations. Oshiafi also pointed to a rise in Neimeth's share price from N2.29 to N6.15, boosting market capitalization to N26.3 billion.

management remained committed to securing the funding needed to accelerate its completion.

— Valentine OkeluThe Managing Director/Chief Executive Officer described the project as a strategic priority.
DistantNews Editorial

Originally published by Vanguard in English. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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