Top healthcare company in Japan, Ohara Pharmaceuticals has acquired up to 20% shares of Fidson Healthcare Plc.

According to reports, the deal is a strategic capital and business alliance between both companies and it will provide both the Nigerian and Japanese markets the latest products and services in healthcare.

Fidson had listed 586,360,250 ordinary shares by way of Rights Issue on Monday, July 1, 2019. These additional shares listed, according to a statement sent to the Nigerian Exchange Commission (NSE), arose from Fidson Healthcare’s Rights Issue of 750,000,000 ordinary shares of 50 kobo each at N4.00 per share on the basis of 1 new ordinary share for every 2 ordinary shares held as at December 28 2018.

Fidson was only able to raise 78.18% of what it’s expected to raise. This makes the total issued and fully paid up shares of Fidson Healthcare to increase to 2,086,360,250 ordinary shares from 1,500,000,000 after the additional 586,360,250 ordinary shares. It was gathered that the company raised N2.3 billion falling short of its N3 billion target.

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Meanwhile, rights issue, according to reports, gives existing shareholders of a company an opportunity or right to increase their shares by purchasing new shares. The right issue also enables existing shareholders to buy shares at a discount to the market price.

The deal between Ohara and Fidson will see the Japanese company enhance Fidson’s services and products by making pharmaceuticals and medical devices available to the company. These innovations and technology is expected to help Fidson compete better in the local healthcare.

In a statement posted on NSE’s website, Fidson said, “The alliance holds promise as a significant growth driver for both companies, particularly as a major factor for the development of local pharmaceutical manufacturing in Nigeria.

“Given this growing population, there is no doubt that Nigeria is in urgent need of a rapid improvement in the standard of healthcare delivery. This can only be accelerated through modernization and technological intervention which the alliance with Ohara aims to deliver.”

Samson Oyedeyi