International Breweries Shareholders Approves Company's Planned Right Issue

It has been reported that shareholders of International Breweries have approved the Company's planned rights issue.

This was according to a corporate notice filed with the Nigerian Exchange Limited. The approval was given at the Company's last Extraordinary General Meeting in Lagos.

At the start of the year, the firm's International Breweries board of directors proposed that it was considering a rights issue and raising 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% in the firm.

Part of the notice that was submitted reads,

• 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 is and is hereby subdivided 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 International Breweries, the new resolution, its Memorandum of Association, will be amended to reflect that the Company's share capital is N537,241,317 divided into 26,862,065,850 ordinary shares of N0.02 each.

It was also recorded that the firm's revenue improved to about N264bn in 2023 from N218bn in the same period in the prior year.

International Breweries loss after tax increased by 174.98% to N59.47bn from N21.63bn.

Last year, the Company acquired plant, property, and equipment for N43.1bn.