Integrated energy company, Eterna Plc, has officially commenced a major capital raise, opening a rights issue worth N21.52 billion. This strategic move is aimed at bolstering the company's financial position and funding a significant expansion across its downstream operations.
Details of the N21.52 Billion Rights Issue
The rights issue opened on Monday, January 12, 2026, and is scheduled to close on Wednesday, February 18, 2026. The offer comprises 978,108,485 ordinary shares of 50 kobo each, with a price of N22.00 per share.
The offer is structured on the basis of three new ordinary shares for every four ordinary shares held by shareholders as of the close of business on November 27, 2025. All new shares issued will rank equally (pari passu) with the company's existing shares.
Strategic Use of Proceeds for Growth
Eterna Plc has outlined a clear plan for deploying the capital raised from this rights issue. The funds are earmarked for several key strategic initiatives designed to drive future growth and enhance operational resilience.
The proceeds will support:
- Expansion of the company's retail network.
- Upgrading of its lubricant blending plant.
- Enhancement of LPG (Liquefied Petroleum Gas) retail assets.
- Acquisition of commercial delivery assets.
- Expansion of aviation fuelling operations.
- Investment in ESG (Environmental, Social, and Governance) projects aligned with sustainability goals.
A portion of the funds will also be allocated as a working capital buffer to improve day-to-day liquidity. This includes financing inventory and settling short-term trade payables. The company stated that this financial cushion is crucial to strengthen its resilience against market volatility, foreign exchange fluctuations, and potential supply chain disruptions.
Building on a Foundation of Resilient Performance
This capital raise follows Eterna's robust financial performance in 2025. For the nine-month period ended September 2025, the company recorded a substantial revenue of N212.8 billion, with N55.2 billion generated in the third quarter alone.
Despite facing industry-wide margin pressures, Eterna maintained profitability, posting a profit before tax of N1.39 billion over the nine months. The company attributes this resilience to its diversified business model, which spans fuel distribution, lubricant manufacturing, LPG retailing, and aviation fueling. This diversification has helped mitigate the impact of deregulation and global oil price swings.
The rights issue received formal approval from shareholders at the Annual General Meeting held on July 24, 2025. The signing ceremony for the offer was subsequently held on Tuesday, December 2, 2025.
Commenting on this pivotal development, the Chairman of the Board, Dr. Gabriel Ogbechie, described the rights issue as a "defining step in the company’s long-term growth plan." The move positions Eterna Plc to capitalize on opportunities and navigate the dynamic landscape of Nigeria's downstream oil and gas sector from a position of enhanced financial strength.
