The shareholders of International Breweries have approved the company’s planned rights issue.
According to a corporate notice filed with the Nigerian Exchange Limited, the approval was given at the last Extraordinary General Meeting of the company held in Lagos.
In January, the board of directors of IB Plc said it was considering a rights issue as well as an increase in its share capital.
The issued share capital of the brewer stood at 26,862,069,000 ordinary shares of 50 kobo each as of the end of December 2023.
Brauhaase International Management GMBH and its ultimate holding company (AB InBev Nigeria Holding BV) held an equity interest of 87.29 per cent in the firm.
Part of the notice read, “That the company be and is hereby authorised to raise additional equity capital by way of a rights issue to the existing shareholders of the company on such terms and conditions (including but not limited to the amount of the Rights Issue, price of the rights issue, rights ratio, and number of shares to be provisionally allotted) as shall be determined by the directors.
“That the nominal value of all the existing ordinary shares in the Company’s share capital be and is hereby sub-divided from fifty kobo (N0.50) each to two kobo (N0.02) each and all future ordinary shares in the company’s share capital, including all new ordinary shares that are to be created pursuant to the increase of the Company’s share capital, shall have a nominal value of two Kobo (N0.02) each.”
According to the brewer, with the new resolution, its Memorandum of Association will also be amended to reflect that the share capital of the company is N537,241,317 divided into 26,862,065,850 ordinary shares of N0.02 each.
IB’s revenue improved to about N264bn in 2023, from N218bn in the same period in the prior year.
Its loss after tax, however, rose by 174.98 per cent to N59.47bn from N21.63bn.
Last year, the company acquired plant, property and equipment with a total cost of N43.1bn.
