Nigerian agribusiness firm Ellah Lakes Plc has confirmed that its major public offer, intended to raise up to ₦235 billion through the issuance of 18.8 billion ordinary shares at ₦12.50 each, did not achieve the required minimum subscription level for allotment. As a result, no shares will be issued, and all subscription monies will be refunded to applicants in accordance with the terms outlined in the offer documents and relevant regulatory guidelines.
The offer, which opened on November 10, 2025, and closed on December 19, 2025 (after an extension from the initial December 5 deadline), was primarily aimed at funding the company's proposed acquisition of Agro-Allied Resources & Processing Nigeria Limited (ARPN)**. ARPN is a Singapore-based entity jointly owned by Tolaram Africa Pte Ltd** and Valuestar Holdings Pte Ltd. The acquisition agreement, announced in October 2025, involves 100% shareholding transfer and includes significant assets such as over 6,280 hectares of planted oil palm, 2,093 hectares of cassava plantations, and additional uncultivated land totaling around 11,783 hectares cultivated and 10,393 hectares uncultivated.
Despite the unsuccessful equity raise, Ellah Lakes reiterated that the ARPN acquisition remains on track for completion by the end of **Q1 2026, subject to final conditions and necessary regulatory approvals. The company views the deal as a strategic step to expand its operational scale, enhance efficiencies, and advance vertical integration in palm oil and cassava processing.
In a statement, Chuka Mordi, Chief Executive Officer of Ellah Lakes Plc, emphasized the firm's continued focus on core operational improvements:
> “Ellah Lakes’ strategic direction remains focused on driving operational efficiency, maximising the productivity of our existing plantations, and achieving a significant increase in yield per hectare over the coming years. We are also committed to diversifying our product mix and enhancing vertical integration across palm oil and cassava, positioning the Company for sustainable
growth and long-term value creation. In parallel, the acquisition of ARPN represents a complementary milestone that, once completed, will strengthen our operational footprint and support the Company’s broader transformation agenda. We remain disciplined in executing the transaction responsibly and securing the appropriate capital structure.”
The failed offer has impacted market sentiment, with Ellah Lakes' share price experiencing significant declines following the announcement. On February 20, 2026 (the day of the initial disclosure), the stock fell about 7.91% to close at ₦12.80. It further dropped nearly 10% (the daily limit) on the subsequent trading day, closing at ₦11.55 amid increased selling pressure.
Posts
.jpg)
.jpeg)
