Dangote Sugar’s N499bn Rights Issue Attracts 102.6% Subscription

Dangote Sugar Refinery Plc’s N485.88 billion rights issue attracted N498.57 billion in valid applications, representing a 102.6 per cent subscription, according to the company’s August 13 notice.

The company received 14,595 valid applications for 8.309 billion ordinary shares, against 8.098 billion shares offered at N60 each.

However, the final allotment was capped at the shares offered, meaning the company will raise the targeted N485.88 billion rather than the additional amount requested by investors.

The strong demand comes as Dangote Sugar seeks to strengthen its balance sheet and support its long-term backward integration programme.

The capital raise is particularly significant given the company’s recent earnings pressure from financing costs and foreign-exchange exposure. Its 2025 performance showed stronger revenue and operating margins, but the company still recorded a loss after tax.

Dangote Sugar said the allotment has been cleared by the Securities and Exchange Commission, with allotted shares and surplus subscription monies scheduled to be processed by August 14, 2026.