Presco Rights Issue Records 103% Subscription

Presco Plc, has completed its rights issue, recording an impressive 103 per cent subscription level, reflecting strong shareholder participation and an overwhelming confidence in the company’s strategic direction and long-term growth outlook.

The rights issue attracted demand in excess of the offer size, underscoring sustained investor appetite for Presco’s equity and a clear willingness by shareholders to increase their investment in the business.

The company noted that the oversubscription is particularly noteworthy in a cautious capital-market environment characterised by tightening liquidity and selective investor participation.

It said that against this backdrop, Presco’s ability to exceed its offer size highlights the depth of confidence it continues to command among institutional investors, pension fund administrators, and retail shareholders.

Presco has raised a rights issue of 166.667 million ordinary shares at N1,420.00 per share, amounting to N237 billion from existing shareholders. The rights issue which opened on November 12, 2025 and closed on December 2, 2025.

Presco stated that it intends to utilise the cash mobilised from the capital raise programme to finance greenfield and brownfield acquisitions, some of which are at their final contractual stages, saying that part of the capital will also help the company speed up its industrial expansion projects aimed at increasing production capacity.

“The rights issue provides existing shareholders with the opportunity to increase their equity holdings in the company, thereby reinforcing their participation and support of Presco’s long-term vision,” the company said.

In August, Presco announced plans to acquire Saro Oil Palm, a subsidiary of Saro Africa International, for $46.1 million.

Market participants viewed the strong response as a clear endorsement of Presco’s business fundamentals, disciplined execution, and strengthened governance. The outcome reinforces confidence in the Company’s operational resilience, integrated business model, and ability to continuously deliver on its commitment to sustainable long-term value.

Presco added that beyond signalling investor confidence, the successful rights issue strengthens Presco’s financial position, providing greater balance-sheet capacity to support business expansion and disciplined strategic execution.

“Overall, the oversubscribed Rights Issue further consolidates Presco’s standing as a credible and well-regarded issuer within the Nigerian capital market. The strong participation underscores confidence not only in the Company’s current performance, but also in its long-term vision and growth trajectory,” it added.

Presco Plc is a fully integrated edible oils company engaged in the cultivation of oil palm and the production, refining, and marketing of specialty fats and oils. Its operations are strengthened by its key subsidiaries: Ghana Oil Palm Development Company Limited (GOPDC) and Siat Nigeria Limited, which extend its footprint and enhance its market leadership across West Africa.