NB secures SEC approval for N599.1bn rights issue extension
By Felicia Nwosu
The Securities and Exchange Commission (SEC) has granted approval for the extension of Nigerian Breweries Plc’s N599.1 billion rights issue, pushing the acceptance deadline to Friday, October 18, 2024. Initially set to conclude on October 11, the extension comes in response to public holidays that impacted normal business operations, providing shareholders additional time to subscribe.
Uaboi Agbebaku, Legal Director and Company Secretary of Nigerian Breweries, explained that the company expressed its satisfaction with SEC’s approval, emphasizing that the extension is meant to ensure all shareholders can fully participate.
“We are extending the subscription window to allow shareholders sufficient time to exercise their rights, especially given the disruption caused by public holidays during the initial acceptance period.”
He added that the e rights issue, which commenced on September 2, 2024, offers shareholders the opportunity to increase their holdings, with 11 new shares available for every five shares held as of July 12, 2024. In total, Nigerian Breweries is offering 22.61 billion ordinary shares at 50 kobo each, priced at N26.50 per share.
Agbebaku also highlighted that, during the extended period, insiders would be limited to participating only in the rights issue, following a prior approval from the Nigerian Exchange (NGX) related to the company’s unaudited financial results for the quarter ending September 30, 2024.
The company encouraged shareholders to consult their stockbrokers for further details and take full advantage of the extension. The goal of the rights issue is to strengthen shareholder value and provide an opportunity for them to increase their equity stake in the company.
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