LA SUITE APRÈS LA PUBLICITÉ

Zichis Agro Allied Industries Plc has secured a mandate from its shareholders to raise N50 billion in additional capital to fuel its next phase of expansion.

During the company’s 3rd Annual General Meeting – AGM held in Ogun State, investors approved various financing options, including debt finance, public offers, rights issues, or a combination of both.

As an immediate step toward this expansion, the board received the green light to issue up to N5 billion in commercial paper and allocate N5.5 billion for the acquisition of 2,000 acres of land, signaling a massive scale-up in the company’s agricultural footprint.

To reward investor loyalty, shareholders approved a final dividend of N0.20 per 50kobo ordinary share alongside a 1-for-1 bonus issue. Chairman Mr. Hezekiah Adejoh emphasized that these payouts are strategic moves designed to enhance shareholder value and improve market liquidity.

By doubling the share count through the bonus issue and maintaining a cash dividend, the company aims to reinforce investor confidence in its long-term growth prospects despite the broader economic headwinds currently facing the industrial sector.

The financial results for 2025 underscore a period of explosive growth for the agro-industrial firm. Zichis reported a revenue of N675.62 million, a 134% increase from the N288.89 million recorded in 2024. This top-line growth trickled down to the bottom line with even greater momentum; profit before tax surged by 405% to N364.21 million, while profit after tax jumped an impressive 478% to reach N328.06 million.

Management attributed this performance to improved market penetration, operational efficiency, and a significant boost in production capacity.

Looking ahead, Mr. Adejoh acknowledged that while the 2025 financial year was hampered by inflationary pressures and foreign exchange volatility in Nigeria, the sector remains ripe with opportunity. The company is positioning itself to capitalize on the national focus on food security and the lucrative export gap to earn foreign currency.

With strong government support for the agricultural sector and a newly approved “war chest” of capital, Zichis Agro Allied is pivoting toward becoming a dominant player in both local production and international agro-export markets.