Firm to Raise N3.6b Via Rights issue
Food Concepts Plc, owner of the Chicken Republic Brand recently announced that it had commenced the process to raise up to N3.6 billion by way of a rights issue. The company in a statement said that it kicked off the process following shareholders’ approval at the 16th Annual General Meeting held on November 1, 2018.
The Directors believe that the proposed rights issue presents an excellent opportunity for existing shareholders to increase their investment in the company.
Managing Director of the company, David Butler pointed out that “The rights issue will enable the company to achieve its strategic growth plans and maximise shareholders’ value. The net proceeds of the rights issue will be utilised in funding store expansion, supply chain and distribution improvements as well as launching new brands to meet the flavour profile of the consumer.”
So far, the company has submitted a formal application as well as the relevant documentation to the appropriate regulatory authority for approval.
Food Concept Plc is also a shareholder of Food Concept Pioneer Limited (Butterfield’s and Yum Yum Baked goods Brands), and currently operates 51 company-owned and 19 franchise restaurants across Nigeria and Ghana. The company’s mission is to be the most loved fast food and baked goods company in West Africa by increasing its market share through affordable value food propositions, selectively opening additional stores in new and existing communities and the launch of additional brands. The company aims to operate 300 Quick Service Restaurants (QSR) and to dominate the bread and sausage roll market over the next five years.