FTN Cocoa Processors Plc to Offer 1.7 Billion Shares by Way of Rights Issue

FTN Cocoa Processors Plc, a Nigeria-based agro-allied company that engages in the processing of Cocoa Beans and Palm Kernel into Cocoa Cake, has submitted an application to the Nigerian Exchange Limited (NGX) for approval to list 1.7 billion ordinary shares of 50 kobo each at 50 kobo per share by way of Rights Issue.

A rights issue is a way by which a listed company raises additional capital by selling new shares at a discounted rate to existing shareholders.

According to the statement filed with the NGX, the company said interested shareholders will be able to purchase 17 new ordinary shares for every 22 ordinary shares held as of Tuesday, 09 November 2021.

Meristem Stockbrokers Limited, FTN Cocoa Processors Plc stockbroker, submitted the application for approval.

“Trading License Holders are hereby notified that FTN Cocoa Processors Plc (the Company) has through its Stockbroker, Meristem Stockbrokers Limited, submitted an application to Nigerian Exchange Limited for the approval and listing of a Rights Issue of One Billion and Seven Hundred Million (1,700,000,000) ordinary shares of 50 kobo each at 50 kobo per share, on the basis of seventeen (17) new ordinary shares for every twenty-two (22)
ordinary shares held.

“The Qualification Date for the Rights Issue is Tuesday, 09 November 2021.”