Zichis Agro Allied obtains shareholders approval to raise N50bn fresh capital

Kayode Tokede 

Zichis Agro Allied Industries Plc has obtained shareholders approval to raise N50 billion additional capital through debt finance or equity raising by public offers, rights issue or a combination of both.

The shareholders during the company’s 3rd Annual General Meeting (AGM) in Ogun State, also approved the management’s decision to issue up to N5 billion debt finance by issuance of a commercial paper and acquiring 2,000 acres of land at a total cost of N5.5 billion.

In addition, a final dividend of N0.20 per ordinary share of 50kobo and a bonus issue of one ne ordinary share for every one existing shares held was approved by shareholders who attended the AGM.

Speaking to shareholders, the Chairman of Zichis Agro Allied, Mr. Hezekiah Adejoh noted that the dividend and bonus payout to shareholders aimed to enhance shareholders value, , improve liquidity and reinforce investors confidence in the company’s long-term growth prospects

The Chairman expressed that the 2025 financial year was characterized by a challenging macroeconomic environment , with persistent inflationary pressures, foreign exchange volatility and rising operating costs impacting businesses across Nigeria and within the agro-industrial sector.

“These challenges were accompanied by opportunities driven by increasing demand for local production, heightened focus on food security, huge export gap to earn foreign currency and most importantly government support in boosting the agriculture sector,” he said.

In 2025, the company reported a revenue of N675.62 million , about 134 per cent increase from N288.89 billion reported in 2024. The growth in revenue was driven by increased production capacity, improved market penetration and enhanced operational efficiency.

Zichis Agro Allied closed 2025 with profit before tax of N364.21 million, representing an increase of 405 per cent , while profit after tax rose to N328.06 million, a significant 478 per cent increase from N56.71million recorded in 2024.

“During the year under review, the company made a significant progress in strengthening its operational capacity and expansion drive into critical business units such as the animal feeds production , to include our crop production units in order to positioning ourself for long-term growth.

“We are also at the planning stage of expanding our palm oil plantation in the coming year and this is to reinforce our pressure in a critical segment of the agro- allied industrial market. . This initiative aligns with our long-term sustainability vision in wealth creation and preservation, ”Adejoh said to shareholders.

On outlook, he said, “We remain cautiously optimistic about the outlook for the 2026 financial year. While macroeconomic uncertainties are expected to persist, the company is well- positioned to capitalize on emerging opportunities within the agro-allied industrial sector.

“Our listing on the Nigerian Exchange provides a strong platform for increased visibility, improved access to capital, and accelerated growth. We will continue to focus on expanding our agricultural footprint, strengthening operational efficiency, and deepening our presence across key value chains.”

Responding to shareholders’ questions, Managing Director, Zichis Agro-allied Industries, Mrs. Anthonia Akabusi stated that the company in 2026 aimed to expand its feedmill , and acquire 2000 acres of land for oil palm plantation in Ogun State.

She expressed that fresh capital is needed to expand the company’s production capacity amid growing demand both in Nigeria and outside the country.