Neimeth International Pharmaceuticals Plc Unveils N20 Billion Capital Raise Strategy
Neimeth International Pharmaceuticals Plc has announced a strategic initiative to raise N20 billion from the capital market. This fundraising program, approved by shareholders, is slated for 2025 and is designed to accelerate the company’s expansion and solidify its recent return to profitability. The disclosure was made by the Managing Director and CEO, Pharm. Valentine Okelu, during the firm’s 2026 annual media briefing ahead of its Annual General Meeting.
The primary objectives of the capital infusion are to strengthen core operations, refinance existing obligations, and strategically position Neimeth for sustained long-term growth across African markets. This move follows a decisive financial turnaround, with management citing restored earnings credibility and operational stability as the foundation for attracting new capital and bolstering investor confidence. The initiative is seen as essential to doubling earnings over the medium term and securing long-term competitiveness, a challenge many firms face amidst industry-wide rising costs.
Specifically, the funds will facilitate critical facility upgrades, scale production capabilities, and improve supply reliability for key products. This includes continued enhancements at the company’s Oregun plant to boost efficiency. Furthermore, the capital raise will stabilize the balance sheet following a legacy debt restructuring, which had temporarily increased finance costs. By reducing financing pressure and improving liquidity, Neimeth aims to create a sustainable funding structure to support its growth ambitions without the burden of excessive debt servicing, a prudent approach in any evolving economy.
Management attributes the company’s rebound to disciplined strategies including product volume growth, cost control, and the successful restructuring of foreign currency liabilities. The broader vision behind the capital programme is to strengthen local pharmaceutical manufacturing. This focus aims to reduce import dependence, enhance medicine security across Africa, and allow Neimeth to capitalize on growing intra-African trade opportunities as regional demand expands, ensuring the company remains a resilient player in the market.
