Dangote Sugar (NGX: DANGSUGAR) has formally notified shareholders of its 20th Annual General Meeting (AGM), where a major resolution seeking approval for a ₦500 billion rights issue will take center stage.
The company, in a notice dated March 18, 2026, announced that the AGM will be held on Wednesday, April 15, 2026, at 10:00 a.m at Jewel Aeida, No. 105, Hakeem Dickson Link Road, Lekki Phase I, off Lekki-Epe Expressway, Lagos.
The rights issue resolution is the highlight of the special business.
Under ordinary resolution 7, the board is asking shareholders to authorize it to raise up to ₦500 billion through the issuance of new ordinary shares via a rights issue.
The capital will be primarily deployed to:
– Deleveraging the company’s balance sheet by reducing debt
– Strengthening its capital base
– Funding strategic backward integration projects aimed at boosting local sugar production
The explanatory note accompanying the notice states: “The Board considers the proposed Rights Issue to be in the best interests of the Company and its shareholders, as it provides an equitable and cost-effective means of raising capital to support the Company’s long-term growth and financial sustainability while providing existing shareholders with the opportunity to maintain their proportionate shareholding.”
Key features of the proposed rights issue include:
– Shares will be offered to existing shareholders on a pro-rata basis at a price expected to be at a **discount** to the prevailing market price.
– The exact issue ratio and subscription price will be detailed in a Rights Circular to be issued after regulatory approvals.
– Unsubscribed shares may be offered to other interested shareholders.
– Outstanding shareholder loans or funding arrangements may be converted into equity under resolution 7.6.
– Dangote Industries Limited, the major shareholder, has undertaken to abstain from voting on resolution 7.6 in line with NGX rules on related-party transactions.
Shareholders will also be required to pass resolutions increasing the company’s share capital and authorizing necessary amendments to the Memorandum and Articles of Association.
Routine business at the AGM includes:
– Laying of the audited financial statements for the year ended December 31, 2025
– Election/re-election of directors (including ratification of Messrs. Thabo Solomon Mabe and Muhim Eltaeb, and re-election of Mrs. Yabawa Lawan Wabi, Ms. Bennedikter Molokwu, and Mr. Olakunle Alake)
– Approval of Non-Executive Directors’ remuneration
– Election of Statutory Audit Committee members
The Register of Members will be closed from April 2 to April 7, 2026 (both dates inclusive) to prepare for the meeting. Shareholders who are unable to attend in person may appoint a proxy by using the detachable proxy form included in the annual report.
Administrator and Writer
