Neimeth International Pharmaceutical Plc has announced a record of over 60 per cent success in its recent Rights Issue.

The company had, late last year, sought to raise fresh capital of about N1.2bn by floating a Rights Issue of 821.57 million ordinary shares of 50 kobo each at N1.50 per share to its existing shareholders.

The offer document had explained that the company sought to increase its authorised share capital from N750m to N1bn through the creation of 500 million ordinary shares of 50 kobo each. It added that the funds were to be utilised to further strengthen its operations.

The Chairman of the company, Dr. Ambrosie Orjiako, told journalists on Tuesday that the offer was highly successful, as it recorded 60 per cent success, which was above the expected industry average of 50 per cent.

Orjiako, who spoke during a media briefing to mark the inauguration of two new products by the company (Nimetol and Hibilon), stated that already, the company was utilising the funds raised to boost its business.

He also added that the company had gone a long way in fulfilling its promise of intorducing new products each quarter to ensure that consumers were provided with a wide-range of improved pharmaceutical products.

He said, “I want to refer to the promises we made of new product introduction. With the inauguration of the two products today alone, we are definitely over delivering on our promise. The fulfillment today with our two newest additions, Nimetol and Hibilon, which are disinfectants that can be used in homes, hospitals and institutions.

“These developments signpost part of our re-engineering schemes to build a new Neimeth. Therefore, our quarterly product inauguration forecast is a sealed commitment, which would further endear our business to more customers, thus, boosting our income.”

Orjiako added that with the fresh funds, the company was fully positioned to take full advantage of the emerging potential in today’s business world.

“We now have the capacity to bring innovative and niche products to the market for the next six quarters non-stop, and following the levels of success of our Right Issues success, the company would be looking at various product candidates from our heavy pipeline of products,” he stated.

He assured the shareholders of the company that they were in for good returns as the pharmaceutical industry in the country was currently experiencing positive developments.

Orjiako said, “In the light of the enabling economic and political environment, occasioned by improving Nigeria’s external relations and image and the intensified efforts of the health regulators at curtailing the unfair competition posed by dumping of sub-standard drugs in Nigeria, the nation’s pharmaceutical industry will enjoy sustained growth.”

He,however, noted that “there is the pressing need for the government to move from oratory to solid commitment, if these benefits are to be seen in the near future.”

Source: Punch/Udeme Ekwere