Chams HoldCo To Raise N7.9bn In Hybrid Offer To Drive Expansion

Chams Holding Company Plc has finalised plans to raise N7.65 billion through a rights issue to existing shareholders and a private placement offer. The goal is to strengthen the company’s financial position, support long-term growth, and deliver greater value to stakeholders.

The hybrid offer’s signing ceremony was held at the weekend in Lagos. Both offer components had previously received unanimous approval from shareholders at the last Annual General Meeting.

Under the rights issue, 2.348 billion ordinary shares of 50 kobo each will be offered to existing shareholders at N1.70 per share, based on one new share for every two held as of June 16, 2025. The rights issue will open on August 8, 2025, and close on September 12, 2025, while the private placement will open on September 1, 2025, and close on September 12, 2025.

At the event, group chairman, Chams Holding Company, Sir Demola Aladekomo, emphasised that the capital raise is central to Chams HoldCo’s ongoing strategic transformation.

He said that “this offer, comprising a rights issue and private placement, is structured not just for capital infusion, but for long-term investor confidence. This capital raise supports the execution of a strategic transformation programme, enabling us to scale innovation, deepen our regional presence, and diversify revenue sources in a profitable and defensible manner.”

The company’s group managing director, Mayowa Olaniyan, stated that “funds from these offerings will be utilised to enhance our capital adequacy, reduce leverage, and improve liquidity. The funds will boost our EMV and biometric card production to establish Chama as a leader among Africa’s certified card manufacturers and enable us to expand our digital identity, verification, and secure payment solutions into West and Central Africa.”

Executive director at Cowry Asset Management, the Lead Issuing House, Charles Sanni, commended Chams’ leadership for its vision and commitment.

Chams, listed on the Nigerian Exchange since 2008, is well known for championing identity management and other major initiatives in Nigeria, including BVN and INEC projects. Over the years, the Company has migrated into delivering Fintech and other innovative digital solutions.