Dangote Sugar Refinery Plc has successfully raised N485.9 billion through its rights issue after shareholders subscribed for more shares than the company offered.
The company disclosed the outcome of the exercise in a notice filed with the Nigerian Exchange Limited (NGX) on August 13, 2026, confirming that the offer achieved a 102.6 percent subscription rate, although only 100 percent of the shares were ultimately allotted.
Dangote Sugar had offered 8.10 billion ordinary shares of 50 kobo each at N60 per share to existing shareholders whose names appeared on the register as of April 20, 2026.
The offer price represented a 5.51 percent discount to the company’s share price on the qualification date.
According to the company, it received 14,595 valid applications covering 8.31 billion shares valued at approximately N498.57 billion.
Despite the oversubscription, the final allotment was limited to the original 8.10 billion shares offered.
Dangote Sugar explained that a major shareholder scaled down its request for additional shares by 211.53 million units, valued at N12.69 billion, allowing the company to complete the allotment within the approved offer size.
As a result, shareholders were allotted 8.10 billion shares worth N485.88 billion, effectively completing the rights issue.
Strong shareholder participation
The allotment figures showed significant participation from existing shareholders.
A total of 13,426 shareholders exercised their rights in full, accounting for 6.99 billion shares valued at N419.18 billion.
Another 1,047 investors accepted part of their entitlements, representing 99.08 million shares worth approximately N5.94 billion.
Some shareholders who chose not to exercise their rights renounced them for trading on the NGX. The company said 122 transactions involving 77.18 million shares, valued at N4.63 billion, were recorded from the renounced rights.
Meanwhile, 8,241 shareholders applied for additional shares beyond their existing entitlements.
Of this additional demand, 935.41 million shares worth N56.12 billion were ultimately allotted from the renounced rights.
The Securities and Exchange Commission (SEC) approved the basis of allotment, while Veritas Registrars Limited, the registrar for the offer, was expected to credit successful investors’ Central Securities Clearing System (CSCS) accounts by August 14, 2026.
Investors without CSCS accounts were expected to receive their shares through their Registrar Identification Numbers.
The company also said refunds arising from excess subscription payments would be processed by the same date.
Why Dangote Sugar raised N485.9bn
Dangote Sugar had announced the fundraising plan in April 2026, indicating that it could raise up to N500 billion through the rights issue.
The company said the exercise formed part of its broader strategy to strengthen its balance sheet and finance its expansion programme.
The successful capital raise comes as Nigerian companies increasingly turn to the equity market for long-term funding amid elevated borrowing costs and tight financial conditions.
For Dangote Sugar, the proceeds are expected to provide additional financial capacity for its investment and expansion plans while reducing pressure on other sources of funding.
The company had described the exercise as one of the largest rights issues in Nigeria’s corporate history.
The successful completion of the offer therefore represents a significant milestone for Dangote Sugar and highlights strong investor appetite for established Nigerian companies seeking fresh capital through the domestic equities market.
