Mecure Reprices N5 Billion Series 11 Commercial Paper Issuance

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February 22, 2024/FSDH Capital

MeCure Industries Plc’s (“MeCure”) reprices ₦5 billion Series 11 Commercial Paper Issuance (“Transaction”) under its ₦20 Billion Commercial Paper Issuance Programme. The offer is STILL OPEN and scheduled to close on Friday, 23rd February 2024.

MeCure Industries Plc is a leading human therapeutics company in the Nigerian pharmaceutical industry. The Company recently converted to a Public Limited Company (PLC) and has listed its shares on the NGX trading platform, thereby fulfilling its promise to investors. For over 15 years, MeCure Industries Plc has contributed hugely to the advancement of medical practice in Nigeria with the use of technology and innovation. MeCure pioneered the development of novel products based on advances in technology and launched the pharmaceutical industry’s first tablet in a capsule formulation called Liquitab Floatcap.

In 2022, the company introduced a PET-CT (Positron Emission Tomography and Computed Tomography) based treatment program for cancer. MeCure is the only hospital offering this gold standard for cancer staging which has led to referrals by oncologist from leading hospitals across the country increasing revenue by 250% from just 500 patients alone. Chemotherapy, Immunotherapy, Targeted and Hormonal therapy are the main areas of focus for cancer treatment at MeCure’s dedicated medical oncology facility with 12 chemotherapy suites, 4 bunkers for LINACs (Linear Accelerator) and two reserved floors for surgical oncology comprising of 63 beds. Also, MeCure is expecting the delivery of Linear Accelerator. The arrival of the Linear Accelerator will make MeCure a complete one-stop cancer treatment facility, which covers diagnostics to treatment via chemotherapy and radiotherapy, and it is expected to generate an additional N2.0 billion to N3.0 billion in revenue per annum.

In October 2023, the company commenced the installation of its Beta-Lactam Department for the manufacturing of beta-lactam tablets and dry syrup. The tablet is a first-choice antibiotic for bacterial infections and has a current market size of over N500bn. The installation of this department will qualify MeCure Industries Plc for pioneer status and generate an additional N8bn Revenue in 2024 at 70% capacity utilization, and N12bn in 2025.

In November 2023, the company successfully listed its shares on the growth board of the NGX, thereby fulfilling its promise to investors. A total of 4,000,000,000 (Four Billion) ordinary shares were admitted to trading, representing the total issued share capital of the Company, with one of the largest market capitalizations on the Standard Segment of the NGX’s Growth Board.

MeCure Industries Plc has a stable and experienced executive management team with a history of consistent superior financial performance and returns. The company has a stable outlook, with a short-term rating of A2 by GCR and A1 by Data Pro.

Please see below the indicative rates and other details of the proposed offer:

*Kindly note that the yield payable on the Note is subject to Withholding Tax (WHT) except for exempted investors (E.g., PFAs).

Please see the Link to the supporting Issue documents for your review and consideration:

  1. Programme Memorandum
  2. Series 11 Pricing Supplement
  3. Series 11 Commitment Form
  4. Investors’ Presentation
  5. GCR Issuer Rating Report
  6. DataPro Issuer Rating Report
  7. Supplemental Prospectus
  8. Mecure Industries Plc Audited Financial Statements (2019-H1 2023)
  9. Mecure Industries Plc Q3 2023 Unaudited Financial Statement
  10. 2024 Pencom Compliance Certificate

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