By Damilare Adeleye
Dangote Sugar Refinery Plc has secured shareholders’ approval to raise up to N500 billion through a rights issue and convert outstanding shareholder loans into equity.
These were part of resolutions passed at its 20th Annual General Meeting held on Wednesday, April 15 in Lekki Phase I, Lagos State.
According to resolutions signed by the Company Secretary, Temitope Hassan, shareholders authorised the board to raise capital of up to N500bn via a rights issue, subject to regulatory approvals, with discretion granted to the directors to determine the timing, structure and conditions of the offer.
“That any shares not taken up by existing shareholders within the period stipulated under the Rights Issue may be offered to shareholders of the Company that have indicated interest in purchasing additional shares, on such terms and conditions as may be determined by the Directors, subject to complying with relevant regulatory requirements,” the statement partly read.
“That the Company’s share capital be increased by the exact number of shares which will be required to accommodate the new ordinary shares to be issued to shareholders upon the determination of the terms of the Rights Issue by the Directors in accordance with resolutions (7.1) above.”
The resolutions also provide that the rights issue may be underwritten on terms to be set by the directors, subject to regulatory clearance, while shares not subscribed to by existing shareholders may be offered to other interested shareholders in line with applicable regulations.
To facilitate the exercise, the company will increase its share capital by the number of ordinary shares required for the rights issue.
The board was also empowered to allot shares, manage fractional entitlements and cancel any unallotted shares.
In a key provision, the directors were authorised to convert outstanding shareholder loans or other funding arrangements into equity by applying such amounts to the subscription for shares under the rights issue.
Meanwhile, shareholders also ratified the appointment of Thabo Solomon Mabe and Mulhim Eltaeb as directors, effective December 1, 2025. Similarly, directors retiring by rotation, Yabawa Lawan Wabi, Bennedikter Molokwu and Olakunle Alake, were re-elected.
The shareholders also adopted the 2025 audited financial statements and approved the retention of PricewaterhouseCoopers as external auditors for the 2026 financial year, with the board authorised to fix their remuneration.
In line with Section 404(3) of the Companies and Allied Matters Act 2020, Olusegun Olusanya, Dahiru Ado and Muheebat Dankaka were elected as shareholder representatives on the audit committee, while Wabi Lawan and Uzoma Nwankwo will represent the board.