Champion Breweries meets NGX free float requirement after N60 billion capital raise

2026-03-09 11:47:56

Champion Breweries Plc has confirmed it has met the Nigerian Exchange (NGX) minimum free float requirement after completing a capital raise worth approximately N60 billion.

The company disclosed this in a statement released to shareholders and the investing public and made available to Nairametrics on Saturday, March 7, 2026.

The development follows the successful completion of its Public Offer and Rights Issue, which increased its free float to above the required threshold for companies listed on the Main Board of the Nigerian Exchange.

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What the Company is saying

Champion Breweries Plc says it has successfully addressed its free float deficiency ahead of the deadline earlier granted by NGX Regulation Limited (NGX RegCo).

Nairametrics checks show the company had previously been listed among nine companies flagged for free float deficiency on Schedule 7 of the latest X-Compliance Report published by NGX RegCo.

_“The completed capital raises, successfully approved by the Securities and Exchange Commission, are currently in the final stages of the Central Securities Clearing System (CSCS) account crediting.” _
_“All applicants under the Rights Issue have now been credited with their new shares, while crediting for applicants under the Public Offer is ongoing.” _
“This milestone transaction, having achieved the primary objective of the acquisition of the Bullet portfolio, has achieved the additional benefit of achieving full compliance of the Exchange’s liquidity and free float requirements.”

The company added that the “Below Listing Standard (BLS) Compliance Status Indicator” previously displayed beside its name across NGX platforms would be removed by NGX RegCo following confirmation of compliance.

More insights

Champion Breweries embarked on a two-step capital-raising programme aimed at strengthening its balance sheet and supporting its strategic expansion plans. The fundraising comprised a N15.9 billion Rights Issue offered to existing shareholders and a N42 billion Public Offer.

The Public Offer involved 2,625,000,000 ordinary shares of 50 kobo each offered at N16.00 per share.
The offer opened on January 8, 2026, and closed on January 21, 2026.
Net proceeds from both the Public Offer and the Rights Issue are earmarked to fund the acquisition of the Bullet brand portfolio through an asset carve-out arrangement.

According to the company, the acquisition will transfer ownership of Bullet’s brands, trademarks, recipes, and commercial rights across its African markets to Champion Breweries while also supporting working capital needs and growth initiatives.

What you should know

Companies listed on the Nigerian Exchange are required to maintain a minimum level of shares available for public trading, known as free float, to ensure adequate market liquidity and orderly trading of their securities.

For companies listed on the Growth Board (Entry Segment), the minimum free float is 10% of issued shares or a value equal to or above N50 million.
For companies on the Growth Board (Standard Segment), the minimum free float requirement is 15% of issued shares or a value equal to or above N50 million.
Companies listed on the Main Board must maintain at least 20% of issued and fully paid-up shares as free float or a free float value of at least N20 billion.
For companies on the Premium Board, the requirement is a minimum of 20% free float or a value equal to or above N40 billion.

Free float represents the portion of a company’s shares available for public trading on the Exchange, excluding shares held by insiders, directors, government entities, or strategic investors, and serves as a key indicator of market liquidity and price discovery.

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