Nigeria's Flour Mills said on Monday it will raise 28.24 billion naira ($177.55 million) in a rights issue through existing shareholders to finance its expansion programme.
The company will raise the funds through the issuance of 455.57 million ordinary shares at 62 naira per share, which will open on Nov. 14 and close by December 21, 2011, it said in a public notice.
Flour Mills shares opened flat at 60 naira per share on Monday. "The rights will be tradeable during the issue period at the price quoted on the Nigerian Stock Exchange," the company said.
The funds will be used primarily to finance the company's food and cement business expansion and growing the agro-allied business, Flour Mill treasury director, Vlassis Liakouris told Reuters in September.
Flour Mills in December raised 37.5 billion naira in five-year bonds, the first tranche of a 70 billion naira programme, Nigeria's first corporate debt issue outside the banking sector in recent years.