Vitafoam Nigeria Plc is in search of shareholders’ approval to extend its issued share capital to N750.5 million and subject bonus shares to current buyers as a part of a broader plan to realign its capital construction.
The proposal was disclosed in a discover filed with the Nigerian Trade (NGX) on Wednesday forward of the corporate’s sixty fourth Annual Normal Assembly (AGM).
The AGM is scheduled to carry in March 2026 in Lagos, the place shareholders will vote on the capital improve, amendments to the corporate’s constitutional paperwork, and different statutory issues.
The proposed resolutions mark a major step by the froth producer to develop its fairness base following a powerful monetary turnaround within the 2025 monetary yr, whereas additionally rewarding shareholders by means of a bonus subject.
What the corporate is saying:
Shareholders shall be requested to approve a particular decision to extend Vitafoam’s issued share capital by creating further peculiar shares. If authorised, the corporate’s issued share capital will rise to 1.50 billion peculiar shares from the present 1.25 billion.
- “That the share capital of the corporate be and is hereby elevated from N625,422,531 to N750,506,438 by creation of 250,168,812 peculiar shares of fifty kobo every,” the discover learn partially.
The corporate famous that the newly created shares will rank pari passu with the present peculiar shares and can assist the implementation of the proposed bonus subject.
Extra insights
The proposed improve will elevate Vitafoam’s issued share capital from N625.42 million to N750.51 million by means of the creation of 250.17 million new peculiar shares of fifty kobo every.
In keeping with the discover, the capital growth is central to strengthening the corporate’s capital base and aligning it with its present scale of operations.
- Present issued share capital stands at N625.42 million, divided into about 1.25 billion peculiar shares.
- Proposed issued share capital will rise to N750.51 million, divided into about 1.50 billion peculiar shares of fifty kobo every.
- The extra 250.17 million shares will rank pari passu with current peculiar shares.
The rise will allow the corporate to subject bonus shares to shareholders with out elevating contemporary capital.
Following the capital improve, Vitafoam will even search shareholders’ approval to amend related clauses of its Memorandum and Articles of Affiliation to replicate the enlarged share capital.
Bonus subject: 1 new share for each 5 held
Vitafoam is proposing a bonus subject of 1 new peculiar share for each 5 current shares held, topic to regulatory approvals.
- The bonus subject will contain the allotment of 250.17 million peculiar shares, matching the variety of new shares created beneath the proposed capital improve.
- Bonus shares shall be issued at a ratio of 1 new share for each 5 current shares held.
- A complete of 250.17 million peculiar shares shall be allotted as bonus shares.
- The bonus subject shall be funded by capitalising N125.08 million from the corporate’s retained earnings.
Shareholders whose names seem on the register as of February 6, 2026, will qualify for the bonus subject.
The corporate famous that the bonus shares shall be totally paid, will rank pari passu with current shares, however is not going to qualify for dividends for the yr ended September 30, 2025.
What it is best to know
Vitafoam Nigeria Plc recorded a pointy monetary turnaround in its 2025 full-year outcomes, laying the muse for the proposed capital restructuring and shareholder rewards.
After a difficult prior yr, the corporate delivered sturdy progress throughout key efficiency indicators, supported by improved pricing, price administration, and resilient demand.
- Revenue earlier than tax surged by about 1,775% to N21.48 billion for the yr ended September 30, 2025, in contrast with N1.15 billion within the earlier yr.
- Revenue after tax climbed by roughly 1,427% to N14.54 billion, up from N952 million in FY2024.
- Income rose by 35% to N111.38 billion, reflecting stronger gross sales of froth and bedding merchandise.
- Primary earnings per share improved to N9.43, in contrast with a loss per share of 72 kobo within the prior yr.
On the again of the improved efficiency, the board has really useful a money dividend of N3.00 per peculiar share alongside the proposed 1-for-5 bonus subject, topic to shareholders’ approval on the AGM.
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