Champion Breweries Plc has listed 2.38 billion new ordinary shares on the Nigerian Exchange Limited (NGX), increasing its share capital to 11.32 billion shares.
This is according to a notification to Trading Licence Holders conveyed in NGX Market Bulletin dated April 15, 2026.
The bulletin marked NGXREG/IRD/MB40/26/4/15 was signed by the Head, Issuer Regulation Department, Mr. Godstime Iwenekhai.
The new shares, admitted on April 15, 2026, stem from the company’s N16 per share hybrid capital raise combining a rights issue and public offer.
What the NGX is saying
According to NGX, Champion Breweries’ rights issue accounted for 931.71 million shares out of the 994.2 million offered at N16.00 per share, reflecting near-full participation by existing shareholders.
- A total of 1.44 billion shares arose from the Offer for Subscription of 2.62 billion ordinary shares of 50 kobo, also at N16.00 per share.
- The rights issue—targeted at existing shareholders—recorded a strong 93.71% subscription rate.
- In contrast, the public offer saw a more subdued 55.01% uptake.
The listing lifts Champion Breweries’ total issued and fully paid-up shares to 11.32 billion, representing a sharp 26.5% increase from 8.95 billion shares prior to the transaction.
More insights:
The public offer meant to woo new investors recorded only 55.01% subscription, with 1.44 billion shares taken up out of 2.63 billion offered.
- However, the existing shareholders consolidated their holding by taking up 931.7 million shares out of the 994.2 million offered, suggesting expectations of future earnings recovery.
- This effectively acted as an anchor, ensuring that the majority of the targeted equity injection was secured through a combination of public and rights offer.
- While insiders and long-term shareholders of the company remain bullish on the company’s future expectations, attracting fresh capital from the wider market appeared challenging, perhaps due to price discovery.
The pricing, set at N16 per share, may not have provided sufficient discount or upside incentive to lure aggressive new demand, as the stock traded at a discount compared to the offer price. In recent times, investors have shown a significant preference for value or dividend-yielding stocks, especially in defensive sectors.
What you should know:
Champion Breweries embarked on a two-step capital-raising programme aimed at strengthening its balance sheet and supporting its strategic expansion plans.
- The fundraising comprised a N15.9 billion Rights Issue offered to existing shareholders and a N42 billion Public Offer.
- The Public Offer involved 2,625,000,000 ordinary shares of 50 kobo each offered at N16.00 per share.
- The offer opened on January 8, 2026, and closed on January 21, 2026.
- Net proceeds from both the Public Offer and the Rights Issue are earmarked to fund the acquisition of the Bullet brand portfolio through an asset carve-out arrangement.
- With the additional 2.38 billion shares, the company confirmed it has now met the NGX minimum free float requirement in an earlier statement on Saturday, March 7, 2026.
As of Friday, April 17, 2026, the share price of the stock was trading at N14.50, down from N15.00 the previous day.
The stock began the year with a share price of N14.00 and has since gained about 7.14% on that price valuation.
With 11.3 billion shares outstanding valued at N170 billion as of Friday, April 17, 2026, Champion Breweries is currently the 50th most valuable stock on NGX, about 0.125% of the equity market value.
