Champion Breweries Launches N15.9bn Rights Issue to Fund Bullet Brand Acquisition

Champion Breweries Plc has officially launched a N15.9 billion Rights Issue to existing shareholders, marking a major step in the company’s ambitious growth strategy. The signing ceremony, held last Friday, comes after the Rights Issue received approval at the company’s Extraordinary General Meeting on July 24, 2025. This Rights Issue represents the first phase of a two-step capital-raising initiative, with a Public Offer scheduled to follow shortly.

The funds raised from the Rights Issue are earmarked for the strategic acquisition of the Bullet brand, a move designed to bolster Champion Breweries’ market presence both locally and internationally. By integrating Bullet into its portfolio, the company aims to strengthen its competitive edge, diversify its product offerings, and accelerate its expansion across key markets.

Under the offer, 994,221,766 ordinary shares of 50 Kobo each will be issued at N16 per share. Shareholders are eligible to receive one new share for every nine shares they currently hold, with the Qualification Date for participation set at September 4, 2025. The structure ensures existing investors can maintain their stake while supporting the company’s strategic growth.

Speaking at the ceremony, Managing Director and CEO Dr. Adoga Inalegwu emphasized the transformative nature of the Rights Issue. He highlighted that completing the acquisition before year-end is critical and urged shareholders to participate promptly. “This Rights Issue gives us the scale and strength to compete beyond Nigeria, unlock high-margin growth, and build a platform that resonates internationally,” Inalegwu said.

The Rights Issue is being managed by a consortium of leading issuing houses, including Rand Merchant Bank Nigeria Limited as Lead Issuing House, with FBNQuest, CardinalStone, Investment One, and CFG Maynard as Joint Issuing Houses. The company advised shareholders to consult the Rights Circular for detailed procedures and seek professional financial guidance. This capital-raising effort underscores Champion Breweries’ commitment to expanding operational capacity, diversifying revenue streams, and solidifying its position in the competitive beverage industry.

source: Punch