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Industrial and Medical Gases Nigeria Plc Secures Shareholder Approval for N6.5 Billion Rights Issue

Strategic Insights

— 1 min read

Nigeria's frontline industrial gas manufacturer, Industrial and Medical Gases (IMG) Nigeria Plc, has won shareholder approval to launch a N6.5 billion rights issue. Simultaneously, the shareholders endorsed an estimated N400 million dividend proposal, representing 80 kobo per share, alongside a bonus issue of one new Ordinary Share of 50 kobo for every 10 ordinary shares held. The company's leadership outlined a strategic vision to prioritize capital investments, market diversification, and customer-centric innovation amidst challenging macroeconomic conditions.

Key Takeaways:

  • The shareholders of Industrial and Medical Gases (IMG) Nigeria Plc approved a N6.5 billion rights issue during the company's 65th Annual General Meeting (AGM) in Lagos.
  • The shareholders also endorsed a proposed N400 million dividend, representing 80 kobo per share, and a bonus issue of one new Ordinary Share of 50 kobo for every 10 ordinary shares held.
  • The company delivered strong financial results, with revenue growing by 38% from N6.064 billion in 2023 to N8.376 billion in 2024 and Profit After Tax (PAT) increasing from N850 million to N1.62 billion.
  • The shareholders commended the board and management for the stellar performance and vowed to reciprocate the dividend declared and bonus shares by taking up the rights issue fully when it is announced.
  • The National Chairman of the Progressive Shareholders Association (PSA), Boniface Okezie, urged all shareholders to participate fully in the rights issue, highlighting the benefits of reducing reliance on bank borrowing.

Statistics:

  • Revenue growth: 38% increase from N6.064 billion in 2023 to N8.376 billion in 2024.
  • Profit After Tax (PAT):

+ 2023: N850 million

+ 2024: N1.62 billion

  • Proposed dividend: N400 million, representing 80 kobo per share.
  • Bonus issue: one new Ordinary Share of 50 kobo for every 10 ordinary shares held.
  • Rights issue: N6.5 billion.

Sources:

  • Industrial and Medical Gases (IMG) Nigeria Plc's 65th Annual General Meeting (AGM) press release.
  • Progressive Shareholders Association (PSA) press statement, unknown date.

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