Shareholders of Neimeth International Pharmaceuticals Plc have unanimously approved an additional N30 billion capital raise, bringing the company's total fundraising mandate to N50 billion. The approval was granted at the 67th Annual General Meeting held virtually on Thursday, June 25, 2026.
This new authorization builds on an existing N20 billion mandate from June 23, 2025, under which Neimeth has so far raised approximately N2.44 billion through a rights issue. This leaves an unutilized balance of approximately N17.56 billion from the initial mandate, resulting in an aggregate of N47.56 billion now available for deployment.
Neimeth Secures N50 Billion Capital Mandate
The special resolution for capital raising grants the board authority to raise up to N30 billion through various instruments. These include public offerings, rights issues, private or special placements to strategic investors, commercial papers, bonds, convertible and non-convertible securities, and medium-term notes.
The board is authorized to use any combination of these instruments in tranches, series, or proportions, on terms and conditions it determines, subject to regulatory approvals. Shareholders also approved that any public offering or rights issue from this new mandate be underwritten on a standby basis to ensure full subscription.
Strong Financials and Strategic Expansion
Shareholders approved the audited financial statements for the year ended December 31, 2025, which showed a pre-tax profit of N1.34 billion. This marks a significant improvement from a loss of N854.43 million recorded in 2024. Profit After Tax settled at N976.417 million, compared to an N885.333 million loss after tax in the previous year.
The expanded capital raising mandate aligns with Neimeth’s intention to pursue aggressive growth, including the ongoing construction of a manufacturing plant in the South East. Shareholders expressed unanimous support for this project and urged diversification into herbal remedies, which is expected to be supported by the N50 billion total mandate.
The flexibility to utilize equity, debt, and hybrid instruments, along with multiple issuance formats, provides the board with extensive options to access capital at the most favorable terms available at any given time.
Leadership Appointments and Stock Performance
On governance matters, the AGM ratified the appointment of Pharm. Obinna S. Emeribe as Executive Director — Sales & Marketing. Mr. Emeribe brings over 25 years of experience in pharmaceutical sales and marketing, with 15 years in senior leadership roles across local and multinational firms.
Additionally, three directors, Mr. Christopher Oshiafi, Mrs. Henrietta Orjiako, and Mr. Eric Okoruwa, were re-elected by rotation. Audit Committee members were also elected in accordance with Section 404(3) of the Companies and Allied Matters Act 2020.
Neimeth International Pharmaceuticals Plc, which resulted from the management-buy-out of Pfizer Inc.'s 60% equity holding in Pfizer Products Plc in May 1997, has been undergoing significant expansion. The company's shares have been actively traded on the Nigerian Exchange (NGX), closing at N8.30 per share on Thursday, June 25, 2026, a 7.1% gain over its previous closing price of N7.75.
The stock 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. 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 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 to restore shareholder value in the long run.
Nigeria’s pharmaceutical sector faces 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.
