Fidson Healthcare Plc has formally set the stage for the launch of its N21 billion Rights Issue, marking a major milestone in the company’s growth strategy and reaffirming its ambition to consolidate leadership in Nigeria’s pharmaceutical sector while expanding its footprint across Africa.
The company on Friday, December 12, 2025, held a signing ceremony at its head office in Lagos to signal the commencement of the Rights Issue process, subject to final regulatory approvals from the Securities and Exchange Commission and the Nigerian Exchange Limited. The ceremony brought together Fidson’s board and executive management, as well as representatives of its financial advisers and issuing houses, underscoring the strategic importance of the capital raise.
Under the offer, Fidson Healthcare plans to issue 600 million new ordinary shares of 50 kobo each at an offer price of N35 per share, targeting gross proceeds of up to N21 billion. The new shares are being offered to existing shareholders on the basis of one new ordinary share for every four ordinary shares held as of the close of business on Wednesday, November 12, 2025, which serves as the qualification date for the offer.
The Rights Issue is designed to provide fresh capital to support the company’s next phase of growth, with a strong focus on expanding manufacturing capacity, accelerating product innovation, and deepening market penetration within Nigeria and across selected African markets. Management described the transaction as a natural progression in Fidson’s long-term strategy, particularly in light of its strong recent financial performance and growing regional relevance.
The timing of the capital raise is anchored on Fidson’s impressive operating and financial momentum. For the nine-month period ended September 30, 2025, the company delivered a remarkable 132% year-on-year increase in profit after tax, which rose to N7.97 billion. This was driven by a robust 56% increase in revenue to N93.08 billion, reflecting sustained demand for its products and wider distribution reach. Operating profit also surged by 92% to N16.95 billion, highlighting significant efficiency gains, scale benefits, and disciplined cost management.
These results, according to management, demonstrate Fidson’s ability to translate growth in volumes and market access into strong earnings, reinforcing investor confidence ahead of the Rights Issue. The N21 billion capital injection is expected to further strengthen this trajectory by enabling capacity upgrades, technology investments, and the development of new product lines that meet evolving healthcare needs across the continent.
Speaking at the signing ceremony, the Managing Director and Chief Executive Officer, Biola Adebayo, described the Rights Issue as a defining moment for the company. He noted that the successful formalisation of the offer reflects Fidson’s readiness to scale up operations and compete more effectively on a pan-African level.
According to him, the fresh capital will help cement Fidson’s position as Nigeria’s foremost healthcare manufacturing company while supporting its ambition to become a dominant pharmaceutical player across Africa. He added that the company’s exceptional performance in 2025 has validated its strategy and execution capabilities, providing a strong foundation for accelerated and sustainable growth.
Also speaking at the event, the Finance Director, Imokha Ayebae, emphasised that the Rights Issue has been carefully structured to be attractive and accessible to existing shareholders. He explained that the offer price represents a compelling entry point, while the use of proceeds has been clearly defined to ensure optimal value creation.
He encouraged eligible shareholders to exercise their provisional allotment rights during the offer period, noting that the funds would be deployed judiciously to enhance operational efficiency, expand manufacturing capacity, upgrade technology, and broaden the company’s product portfolio.
The Rights Issue is being led by CardinalStone Partners Limited, whose Chief Executive Officer, Michael Nzewi, highlighted Fidson’s strong equity market journey. He pointed out that the company’s previous equity offering in 2019 was priced at N4.50 per share, compared with the current offer price of N35, underscoring the significant growth in shareholder value over the period. He added that the current offer, which is at a discount to the prevailing market price, reflects both Fidson’s growth story and the attractiveness of its shares as a long-term investment.
Shareholders whose names appear on the register as of the qualification date are advised to complete the official participation form and submit it, along with full payment, through their stockbrokers or designated receiving agents before the closing date stated in the Rights Circular.
With this Rights Issue, Fidson Healthcare is positioning itself to deepen its leadership in pharmaceutical manufacturing, drive innovation, empower its workforce, and deliver sustainable long-term value to shareholders, while playing a broader role in strengthening healthcare delivery across Nigeria and the African continent.
Emmanuel Bassey is a Financial Expert that has worked in the Banking and Finance Industry for over 15+ years across different banks in Nigeria
