Industrial & Medical Gases Nigeria Plc (IMG) has received shareholder approval to raise N6.5 billion through a rights issue, as part of a broader plan to strengthen its capital base and scale up operations.
The approval was granted at the company’s Annual General Meeting (AGM) in Lagos, where other key proposals were also accepted.
At the meeting, shareholders endorsed a dividend of 80 kobo per share, along with a bonus issue of one ordinary share of 50 kobo for every 10 held, rewarding long-term investors.
Speaking on the development, Chairman Aminu Ado highlighted the board’s commitment to long-term value creation.
“The IMG Board is focused on capital investment, market diversification, production expansion, cost efficiency, and driving customer-centric innovation,” he stated.
Managing Director and CEO, Ayodeji Oseni, echoed similar sentiments, highlighting the company’s financial resilience in the face of economic headwinds.
“Revenue grew by 38%, rising from N6.06 billion in 2023 to N8.3 billion in 2024. Post-tax profit also nearly doubled, from N852 million to N1.62 billion,” he noted.
He described the results as a reflection of operational discipline and strategic focus.
Backing the company’s direction, Boniface Okezie, National Chairman of the Progressive Shareholders Association (PSA), urged shareholders to participate fully in the forthcoming rights issue to position themselves for future gains.
Also at the meeting, two Non-Executive Directors—Olawale Oyedele and Adebayo Adeleke—were re-elected to the board after retiring by rotation, in line with the company’s governance framework.
What to know
- The offer price and commencement date for the Rights Issue will be announced at a later date.
- The approved dividend of 80 kobo per share translates to a total payout of approximately N439.5 million, based on the outstanding shares of 549,443,012.
- At a share price of N34.90, this dividend represents a yield of 2.29%.
Performance
Industrial & Medical Gases Nigeria Plc posted a pre-tax profit of N2.4 billion in FY 2024, marking a 96% increase from the N1.2 billion recorded in 2023.
This strong performance was largely driven by a significant boost in revenue, which rose 38% to N8.3 billion, up from N6.06 billion the previous year.
- Gas sales remained the company’s primary revenue source, contributing N8 billion, or 95.6% of total revenue.
- The remaining income came from engineering services, sales of gas equipment, and delivery charges.
On the balance sheet, total assets doubled, reaching N14.8 billion, compared to N7.3 billion in 2023.
Retained earnings also rose sharply, growing to N5.3 billion from N3.9 billion, making up the largest portion of total equity, which stood at N5.9 billion—a 41% increase year-on-year.
