Oando Plc (NGX: OANDO) has applied to the Nigerian Exchange Limited for approval and listing of a proposed rights issue aimed at raising fresh capital from existing shareholders.
The company, through its stockbrokers Vetiva Securities Limited, Anchoria Securities Limited, Coronation Securities Limited and Meristem Stockbrokers Limited, is seeking to issue 4.42 billion ordinary shares of 50 kobo each at ₦50.00 per share.
The offer will be made on the basis of one new ordinary share for every two existing ordinary shares held by shareholders as at the close of business on February 13, 2026, which has been set as the qualification date.
The proposed capital raise represents one of the largest equity offerings in the market in recent times and signals the company’s plan to strengthen its balance sheet subject to regulatory approvals and listing processes on the Nigerian Exchange.
However, the rights issue comes at a time when the company’s shares are trading below the offer price in the secondary market. Oando Plc closed at ₦43.4 per share, which is lower than the ₦50 rights issue price.
This pricing dynamic may influence investor behaviour, as shareholders could opt to acquire shares directly from the open market at a cheaper rate rather than exercise their rights at a premium.
Nevertheless, participation in the rights issue may still appeal to long-term investors seeking to maintain their ownership structure, avoid dilution, and demonstrate confidence in the company’s capital-raising plans and future outlook.
Ifunanya Ikueze is an Engineer, Safety Professional, Writer, Investor, Entrepreneur and Educator.
