The Nigerian Exchange Group (NGX) is repositioning its operations to become a hub for both public and private capital, aiming to reverse the trend of company delistings and boost investor engagement. At its 64th Annual General Meeting, Group CEO Temi Popoola highlighted that global demand for private capital is rising, and Nigeria must adapt by aligning with this shift. According to Popoola, all six of Nigeria’s unicorns are currently funded through private capital, emphasizing the need for NGX to evolve beyond its traditional role as a public equity platform.
Popoola also addressed investor concerns over delistings, clarifying that while some companies are exiting the public market, others are securing substantial private deals that maintain overall market value. NGX, he said, is actively collaborating with the Securities and Exchange Commission (SEC) to initiate institutional reforms aimed at improving the attractiveness of Nigeria’s capital market. Additionally, Nigeria is set to host an international private capital summit later this month, showcasing the country’s growing appeal to global investors.
In terms of financial performance, the NGX Group recorded its highest-ever dividend payout of N4.4bn, or N2.00 per share. The group reported a significant year-on-year profit before tax increase of 157.3%, reaching N13.6bn, driven by expanded revenues, cost efficiencies, and stronger market participation. Gross earnings for FY 2024 surged by 103.2% to N24bn, up from N11.8bn in 2023, signaling a resilient and upward trajectory for the exchange group.
Highlighting its commitment to innovation and market development, NGX launched the NGX Invest platform, facilitating N1.85tn in capital raises for the banking sector. The group also expanded regionally through a strategic stake in the Ethiopian Securities Exchange. Chairman Dr. Umaru Kwairanga reaffirmed the Group’s commitment to leading capital market transformation in Nigeria despite ongoing macroeconomic pressures.
Source: Punch