Champion Breweries Plc has entered into an agreement to acquire the brand assets and intellectual property rights of the Bullet range of alcoholic and energy beverages from Sun Mark International Limited.

The company, a subsidiary of enJOYcorp, announced in a filing on the Nigerian Exchange (NGX) on August 20, 2025, that the acquisition of the Bullet energy beverage portfolio aligns with its strategy to diversify into high-growth food and beverage categories. Industry analysts say this marks a significant pivot from the brewer’s traditional focus on beer and malt, signaling a deliberate attempt to capture growth in Nigeria’s booming energy and ready-to-drink segments.

Structured as an asset carve-out, the deal will see the assets transferred to a newly incorporated company in the Netherlands, with Champion holding a majority stake and Vinar N.V., a Belgian entity and majority shareholder of Sun Mark, retaining a minority interest.

Champion noted that the transaction remains subject to regulatory approvals, including clearance from the Federal Competition and Consumer Protection Commission (FCCPC). If approved, the deal will allow Champion to report Bullet’s assets in its financials, with immediate gains expected from foreign exchange earnings, distributor reach, and longer-term benefits from supply chain integration, product diversification, and stronger market presence.

Bullet already has a strong presence across 14 African markets, including Nigeria, Cameroon, Ghana, Ivory Coast, the Democratic Republic of Congo, and Tanzania. In Nigeria, Bullet Black is the leading ready-to-drink beverage, while Bullet Blue ranks among the top six energy drink brands. Energy drinks have continued to defy Nigeria’s broader consumer slowdown, with rising youth demand and the product’s entrenched position in nightlife and entertainment culture driving sales growth.

This acquisition builds on Champion’s recent momentum, following a strong H1 2025 performance that underscored its turnaround story. The company reported a pre-tax profit of N3.4 billion, compared with a loss of N333 million in the first half of 2024.

H1 Performance

Champion Breweries Plc reported a pre-tax profit of N1.7 billion in the second quarter of 2025, a 268.95% increase from N465.4 million in the same period last year. This brought half-year pre-tax profit to N3.4 billion, compared with a loss of N333 million in the first half of 2024.

The growth was driven by stronger beer and malt sales, which rose 44.18% year-on-year to N7.4 billion in Q2, pushing total revenue for the half year to N15.9 billion, up 66.92%. Cost of sales increased to N3.5 billion from N2.9 billion in Q2 2024, but gross profit still climbed 72.90% to N3.8 billion, from N2.2 billion last year. With no foreign exchange losses during the quarter, profit after tax rose 198.17% year-on-year to N1.3 billion.

As of June 2025, total assets stood at N25.9 billion, up 21.57%, while retained earnings grew 45.13% to N5.6 billion.

In the capital markets, Champion has emerged as one of the most outstanding performers this year. As of the close of trading on August 20, 2025, its shares had gained over 418% year-to-date, and investors expect the recent acquisition to provide further momentum.

Analysts suggest that this move not only cements Champion’s financial recovery but also positions it to compete in Nigeria’s fast-growing non-alcoholic and energy drink market — one dominated by global heavyweights such as Red Bull, Monster, and Coca-Cola’s Predator brand. With Bullet’s established African footprint, Champion is set to leverage distribution synergies, deepen its penetration, and create new revenue streams in line with its diversification agenda.

Figure Technology Solutions, a blockchain-based lending company, publicly filed for an initial public offering (IPO) with the U.S. Securities and Exchange Commission (SEC) on August 18, 2025, aiming to list on Nasdaq under the ticker symbol “FIGR.”

The New York-based firm, co-founded in 2018 by Mike Cagney (formerly of SoFi), reported a 22.4% revenue surge to $191 million for the first half of 2025, with a profit of $29 million, compared to a $13 million loss in the same period the previous year.

Figure leverages its Provenance Blockchain to streamline lending, trading, and real-world asset (RWA) tokenization, having originated over $16 billion in home equity loans with more than 160 partners. The IPO, underwritten by Goldman Sachs, Jefferies, and Bank of America, is part of a broader wave of crypto-related firms, including Circle and Gemini, tapping public markets amid a crypto-friendly regulatory environment.

The IPO signals confidence in blockchain’s ability to enhance efficiency, transparency, and security in lending, which could attract institutional investors and traditional banks to explore decentralized finance (DeFi) solutions. The filing comes amid a crypto-friendly regulatory shift, potentially influenced by a pro-crypto administration following Donald Trump’s 2024 election win.

This environment could bolster investor confidence in blockchain-based companies, positioning Figure’s IPO as a bellwether for other crypto firms like Circle and Gemini pursuing public listings. A strong IPO performance could drive increased capital inflows into the crypto sector, particularly for companies bridging traditional finance and DeFi.

Figure’s reported 22.4% revenue growth to $191 million and a $29 million profit for the first half of 2025 demonstrate financial resilience, making it an attractive investment compared to other crypto firms with less consistent profitability. This could set a precedent for how blockchain companies are valued in public markets.

Figure’s success could pressure traditional lenders and fintechs to integrate blockchain or risk losing market share. Its $16 billion in originated home equity loans and partnerships with over 160 institutions underscore its competitive edge in scaling blockchain-based lending.

The IPO may spur innovation in RWA tokenization, as Figure’s Provenance Blockchain supports digitizing assets like real estate and securities, potentially reshaping capital markets. As a blockchain-based lender, Figure’s public listing will likely face intense regulatory scrutiny from the SEC and other agencies. Its ability to navigate compliance could set a precedent for how regulators view blockchain firms, influencing future IPOs in the sector.

Figure as a Basis for Comparison

Figure’s expected $400 million raise and Nasdaq listing will provide a public valuation benchmark for blockchain lending platforms. Investors will compare its price-to-earnings (P/E) ratio, revenue growth (22.4% in H1 2025), and profit margins ($29 million profit) to other fintechs and crypto firms like SoFi, Block, or Coinbase.

Unlike pure crypto exchanges, Figure’s focus on lending and RWA tokenization offers a hybrid model, making it a unique comparator for both fintech and blockchain sectors. Figure’s Provenance Blockchain, used for loan origination and asset tokenization, sets a standard for operational efficiency.

Competitors will be judged on their ability to replicate or surpass Figure’s blockchain-driven cost savings and scalability, especially in home equity lending ($16 billion originated). Other blockchain firms pursuing IPOs, such as Circle (stablecoin issuer) or Gemini (crypto exchange), will be compared to Figure on how effectively they integrate blockchain into real-world financial applications.

With over 160 partners, Figure’s collaborative model contrasts with more insular crypto platforms. Future blockchain IPOs will be evaluated on their ability to build extensive partner networks, as Figure’s partnerships demonstrate market trust and scalability. Figure’s IPO timing, amid a crypto-friendly regulatory environment and post-election optimism, positions it as a test case for market appetite.

Figure’s focus on tokenizing real-world assets like real estate and securities positions it as a leader in this emerging field. Competitors will be measured against Figure’s ability to scale RWA tokenization, which could disrupt traditional capital markets by enabling fractional ownership and liquidity.

As a basis for comparison, Figure will influence how investors, regulators, and competitors assess valuation, technology adoption, partnerships, and market timing in the rapidly evolving intersection of blockchain and finance. If successful, Figure could catalyze further innovation and public listings in the sector, solidifying its role as a trailblazer.

This presentation is designed to provide a deep understanding of equity dilution, a concept critical for business founders and investors. It explores how a company’s ownership structure changes when new capital is raised and how this affects the percentage of ownership for existing shareholders, including the founders.

Initial Company Structure and Valuation

The video begins with a hypothetical scenario of a startup founded by three individuals: Founder A, Founder B, and Founder C. Their initial ownership is based on their respective contributions to the business.

• Founder A: 60% equity
• Founder B: 30% equity
• Founder C: 10% equity

At this early stage, the company is valued at its pre-money valuation, which is the company’s worth before receiving new investment. In this case, the pre-money valuation is $800,000.

First Round of Funding

The company has successfully operated for a few months but now needs to raise more capital to expand operations, hire more employees, and grow faster. They decide to raise $200,000 from a new investor.

• Pre-money valuation: $800,000
• New capital raised: $200,000
• Post-money valuation: $800,000 + $200,000 = $1,000,000

The new investor’s ownership is calculated as the new investment divided by the post-money valuation.

• New Investor Ownership: ($200,000 / $1,000,000) = 20%

The original founders now collectively own the remaining 80% of the company. Their individual ownership percentages are diluted proportionally.

Second Round of Funding

The company continues to grow and, at a later stage, decides to raise more money. The company is now much more valuable, with a pre-money valuation of $9 million. They seek to raise $1 million from a new investor.

• Pre-money valuation: $9,000,000
• New capital raised: $1,000,000
• Post-money valuation: $9,000,000 + $1,000,000 = $10,000,000

The new investor’s ownership is calculated as the new investment divided by the post-money valuation.

• New Investor Ownership: ($1,000,000 / $10,000,000) = 10%

The existing shareholders, including the founders and the first investor, now share the remaining 90% of the company. Their ownership percentages are further diluted. For example, the first investor’s 20% stake is now 18% of the new, larger company (20% of the remaining 90%).

The Paradox of Dilution

The most important takeaway is what the presenter calls the “paradox of dilution.” While an individual’s percentage of ownership decreases with each new funding round, the actual value of their stake often increases because the company’s overall valuation has grown significantly.

For example, Founder A’s initial 60% stake was worth $480,000 (60% of $800,000). After the second funding round, their ownership percentage has been diluted to 43% of the company. However, the company is now valued at $10 million, making Founder A’s stake worth $4.3 million (43% of $10 million).

Conclusion

In conclusion, equity dilution is a key mechanism for business growth and a natural consequence of attracting investment. It is not something to be feared but rather understood as a way to increase the overall value of the company and, consequently, the value of each shareholder’s stake. The key is to evaluate each funding round on its own terms and recognize that an increase in company valuation can far outweigh the decrease in ownership percentage.

Tekedia Daily podcast: Sign-up at Blucera and check under Training module.