Neimeth International Pharmaceuticals Plc’s major shareholder, Clinoscope Services Limited, has divested a substantial portion of its stake, selling over 515 million shares worth N3.117 billion. This significant transaction follows a period of robust performance for the pharmaceutical company’s stock on the Nigerian Exchange (NGX) throughout 2025. The move reshapes the ownership structure of the publicly traded firm.
Regulatory filings on the NGX confirmed that Clinoscope Services offloaded precisely 515,300,515 units of NEIMETH shares. These shares were sold at an average price of N6.05 per unit, culminating in the multi-billion naira deal. The divestment was executed across two distinct tranches during the latter half of the year.
The initial tranche, completed on September 17, 2025, involved the sale of 15,300,515 units at N6.10 per share. A larger second tranche followed on December 19, 2025, with 500,000,000 units changing hands at N6.00 per share. Prior to this divestment, Clinoscope Services held 1,068,276,375 shares, representing a 25% stake in Neimeth.
Following these transactions, Clinoscope’s holding in Neimeth International Pharmaceuticals Plc has been significantly reduced to 552,975,860 shares, now accounting for 12.94% of the company. The sale occurred against the backdrop of Neimeth’s stock delivering an impressive 162% year-to-date return to investors in 2025, marking it as one of the stronger performers on the NGX.
Despite the overall strong annual performance, Neimeth’s shares experienced a notable decline of 8.12% in the second half of 2025. The stock slid from N7.20 at the beginning of July to N6.00 by the close of trading on December 23, 2025. This recent pullback, however, still leaves the share price substantially higher than at the start of the year.
The pharmaceutical firm reported a robust financial performance for the nine months leading up to September 30, 2025. Revenue surged to N5.0 billion, a significant increase from N3.09 billion recorded in the corresponding period of the previous year. Pharmaceutical sales were the primary driver of this growth, contributing N4.8 billion, while animal health products added N166.2 million.
Concurrently, the cost of sales also rose to N2.5 billion. Nevertheless, gross profit expanded sharply to N2.4 billion, compared to N1.4 billion previously. Other income of N312.3 million further bolstered earnings, propelling operating profit to N1.6 billion, more than doubling year-on-year despite higher operational expenses.
After accounting for substantial finance costs amounting to N1.3 billion, Neimeth recorded a profit before tax of N339.7 million for the nine-month period. The company’s balance sheet also reflected improvements, with total assets increasing to N13.3 billion and shareholder equity rising to N1.9 billion, indicating a strengthening financial position.
A pivotal development earlier in the year was the approval by shareholders at the Annual General Meeting on June 23 to raise up to N20 billion through a share issuance. This strategic move aimed to bolster Neimeth’s capital base and support its growth initiatives. The announcement was met with positive market sentiment.
The resolution to raise capital initially ignited a significant surge in the stock, which climbed 110.65% in its best monthly performance and lifted first-half gains to 185.15%, peaking at N6.55. However, this bullish momentum gave way to bearish pressure from July onwards. Despite the recent dip, some market observers continue to view the N6.00 level as a potentially attractive entry point for investors, anticipating a near-term move above N8.00.
