Shareholders of Neimeth International Pharmaceuticals Plc have unanimously approved an additional N30 billion capital raise at the company’s 67th Annual General Meeting held virtually on Thursday, June 25, 2026, lifting total fundraising mandate to N50 billion.

The approval builds on an existing N20 billion obtained by a resolution dated June 23, 2025, under which the company has so far raised approximately N2.44 billion through a rights issue, leaving an unutilised balance of approximately N17.56 billion.

With the fresh N30 billion authorisation now added, the aggregate approved capital raising ceiling stands at N50 billion, of which approximately N47.56 billion remains available for deployment.

What the resolutions show:

All items presented at the meeting received unanimous shareholder approval. On the special resolution for capital raising, shareholders authorised the board to raise up to N30 billion through a broad range of instruments and structures, including:

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  • Public offerings, rights issues, private or special placements to strategic or identified investors
  • Commercial papers, bonds, convertible and non-convertible securities, and medium-term notes
  • Any combination of the above, in such tranches, series, or proportions, and on terms and conditions to be determined by the board, subject to regulatory approvals

Shareholders also approved that any public offering or rights issue arising from the new mandate be underwritten on a standby basis to ensure full subscription

The shareholders approved the audited financial statements showing a pre-tax profit of N1.34 billion for the year ended December 31, 2025, compared to a loss of N854.43 million in 2024 while Profit After Tax settled at N 976.417 million compared to N885.333 million loss after tax.

The board was granted full authority to enter into all necessary agreements, appoint professional parties, and take all steps required for implementation, including consequential amendments to the company’s Memorandum of Association upon completion of any capital raise.

More insights:

The expanded capital raising mandate aligns with Neimeth’s intention to pursue a significantly more aggressive growth following the ongoing construction of a manufacturing plant in the South East previously disclosed at last year’s AGM, of which shareholders expressed unanimous support.

  • A N50 billion total mandate would represent a transformative injection of capital targeted at the project and possible expansion of its product lines, for which shareholders urged diversification into herbal remedies.
  • The shareholders resolution encompassing equity, debt, hybrid instruments, and multiple issuance formats gives the board extensive options to access capital at the most favourable terms available at each point in time, rather than being locked into a single instrument or market window.

On governance matters, the AGM also ratified the appointment of Pharm. Obinna S. Emeribe as Executive Director — Sales & Marketing.

  • Emeribe brings over 25 years of experience in pharmaceutical sales and marketing, with 15 years in senior leadership roles across both local and multinational firms.
  • He is described as a result and innovation-driven change agent with a proven track record in strategic turnarounds, business development, and team building.

Three directors were re-elected by rotation including Mr. Christopher Oshiafi, Mrs. Henrietta Orjiako, and Mr. Eric Okoruwa. Audit Committee members were also elected in accordance with Section 404(3) of the Companies and Allied Matters Act 2020.

What you should know:

Neimeth International Pharmaceuticals Plc is the resultant company from the management-buy-out of the 60% equity holding of Pfizer Inc. in Pfizer Products Plc in May 1997.

  • The company has been undergoing significant expansion in recent years after shareholders approved N20 billion capital raise at AGM in 2025 with new investors taking positions in the indigenous drugs manufacturing company listed on the Nigerian Exchange (NGX).
  • The company’s shares have been among the more actively traded pharmaceutical counters on the NGX in recent sessions, with the stock recording notable gains.
  • The stock closed at N8.30 per share on Thursday, June 25, 2026, recording a 7.1% gain over its previous closing price of N7.75.
  • The stock price opened the year at N5.80 per share and has since gained 43.1% on that price valuation, ranking it 56th on the NGX in terms of year-to-date performance.

Of the original N20 billion mandate approved in June 2025, only N2.44 billion has been raised through a rights issue to date — approximately 12.2% of the original authorization.

  • The combined N50 billion mandate, if fully executed, would represent a capital injection above Neimeth’s current market capitalization of N35.5 billion as of Thursday, June 25, 2026, implying significant potential dilution for existing shareholders.

However, the aggressive expansion of plants and product lines is expected to generate fresh capital and commensurate earnings accretion will restore shareholder value in the long run.

Nigeria’s pharmaceutical sector has been under sustained pressure from rising input costs, currency-driven import cost inflation, and the need to upgrade manufacturing capacity to meet both domestic demand and potential export opportunities.