Industrial & Medical Gases Nigeria Plc has announced the launch of a N6.39bn rights issue aimed at strengthening its market position and supporting ongoing expansion projects.
In a statement issued on Monday, the company disclosed that the offer consists of 199,797,458 ordinary shares of 50 kobo each at N32 per share. The structure of the offer is two new shares for every five held by existing shareholders as of the qualification date.
The Chairman of Industrial & Medical Gases Nigeria Plc, Aminu Ado, described the rights issue as a strategic step to secure the company’s future growth. According to him, the initiative offers shareholders the opportunity to increase their investment while supporting the company’s long-term ambitions. He said the offer would remain open for 28 working days, during which shareholders could either accept or renounce their rights.
The Managing Director and Chief Executive Officer of the company, Ayodeji Oseni, explained that funds raised from the rights issue would be deployed to repay loans obtained for expansion and to finance new business development plans. He noted that the move would reposition the company for stronger growth and unlock more value for shareholders.
“This rights issue is a defining moment in our company’s journey. We remain focused on unlocking future growth opportunities and driving sustained value for all stakeholders,” Oseni said.
On his part, the Managing Director of Investment Banking at United Capital Group, the lead issuing house for the transaction, Gbadebo Adenrele, said the rights issue reflects the company’s commitment to deleveraging, strengthening its balance sheet, and ensuring sufficient liquidity for operations and capacity expansion. He added that Industrial & Medical Gases had achieved strong results in 2024, with revenue rising by 38 per cent to N8.3bn and profit after tax increasing by over 90 per cent to N1.6bn.
Adenrele further explained that the offer price of N32 per share represented a 20 per cent discount on the company’s market price of N39.85 as of May 21, 2025, the qualification date. He described the discount as a deliberate move to ensure maximum participation by existing shareholders.
The joint issuing house for the offer is Meristem Capital Limited, while Morgan Capital Securities Nigeria Limited is acting as the stockbroker. Lancelot Registrars and Investor Relations Limited was also appointed as the registrar for the exercise.
The company said it expects the rights issue to attract strong participation, given the significant improvements recorded in its operations and the optimism surrounding its expansion drive. With Nigeria’s industrial gases market seeing rising demand across sectors such as healthcare, energy, and manufacturing, the firm believes the new capital injection will put it in a stronger position to compete and scale its operations.
Industrial & Medical Gases Nigeria Plc, formerly known as BOC Gases, has in recent years stepped up its investment in infrastructure and technology to meet growing market demand. The company said the latest rights issue would accelerate its growth agenda while delivering long-term value to shareholders.
