Eterna Plc has secured shareholder approval to raise N50 billion in fresh capital through multiple funding options.The resolution was among the key decisions reached at the company’s 32nd yearly general meeting held over the weekend.

The capital raise may be executed in one or more transactions and could take the form of public offerings, private placements, rights issues or shareholder loans.

Eterna stated that the funds may be sourced either locally or from international capital markets, with pricing determined through book building or other applicable valuation methods. The exact structure, including the number of tranches, timing, interest rates, and maturity periods, will be defined by the board of directors.

To facilitate the process, shareholders also approved an increase in the company’s share capital to accommodate the issuance of new ordinary shares required for the capital raise. The board has been empowered to manage the allotment and ensure the offering aligns with shareholder interests.
At the AGM, shareholders also approved the company’s audited financial statements for the year ended December 31, 2024. The meeting addressed key governance matters, including the ratification of new director appointments, re-election of existing board members and the appointment of PwC as the external auditor for the 2025 financial year.

Also, members were elected to the statutory audit committee, and director remuneration was affirmed.
The company recorded a 71 per cent increase in revenue, growing from N183.3 billion in 2023 to N313.6 billion in 2024. Gross profit rose by 136 per cent to N39.9 billion, while profit before tax stood at N4.48 billion, marking a significant recovery from the N11.9 billion pre-tax loss recorded in the previous year.

As part of the fundraising plan, the board has also approved a rights issue option. Should any shareholders choose not to exercise their rights within the stipulated period, the company may reallocate the unsubscribed shares to other existing shareholders. Any remaining shares thereafter may be sold to new investors under terms similar to those offered in the Rights Issue.

To ensure smooth execution of the capital raise, the board is authorised to take all necessary steps, including listing the new shares on the Nigerian Exchange or other relevant markets, appointing transaction advisers, finalising the structure of the offer and meeting all regulatory requirements.

The company secretary has also been empowered to register the increase in share capital with the Corporate Affairs Commission in phases as directed by the board.