News Wings

Tag: Capital market

  • NGX RegCo Empowers Retail Investors with Capacity Building Workshop

    NGX RegCo Empowers Retail Investors with Capacity Building Workshop

    NGX Regulation Limited (NGX RegCo), in line with its unwavering commitment to enhance retail investor participation, is excited to announce its forthcoming retail investors’ webinar. This event is designed to equip retail investors with invaluable insights, innovative strategies, and approaches for successful participation in the Nigerian capital market.

    Themed “Expanding Reach for More Impact: Deepening Financial Inclusion in the Retail Investor Ecosystem,” this enlightening webinar is scheduled to take place on Wednesday, 8 November 2023. The event will feature panel discussion, speeches, and presentations from leading market operators, regulators and experts within the capital market.

    Key topics to be addressed during the webinar include the retail Investor landscape; enhancing retail investor participation in the capital market; the impact of unclaimed dividends on your investment portfolio. Interested participants can register online at https://bit.ly/ngx-regco-riw

    Some of the confirmed speakers at the event include Jude Chiemeka, Executive Director, Capital Markets, Nigerian Exchange Limited; Mr. Saheed Adewale Bashir, Chief Executive Officer, Meristem Securities Limited; Alhaji Kasimu Garba Kurfi, CEO, APT Securities Limited; Mr. Peter Omoregie, CEO, CardinalStone Securities Limited; Mrs Onome Komolafe, Divisional Head of Business Services and Client Experience, Central Securities Clearing System (CSCS) and Mr. Abimbola Babalola, Head, Market Surveillance, and Investigations, NGX RegCo.

    NGX RegCo’s Self-Regulatory Organization (SRO) activities seek to promote just and equitable principles of trade, encourage free and open markets, mitigate systemic risks, protect investors and customers, and provide value to stakeholders by facilitating robust, developed and well-regulated markets.

  • NGX RegCo Unveils Code of Conduct for Approved NGX Trading License Holders

    NGX RegCo Unveils Code of Conduct for Approved NGX Trading License Holders

     NGX Regulation Limited (“NGX RegCo”) is pleased to announce the release of the “Code of Conduct for Approved Persons of Trading License Holders” (“The Code”) of Nigerian Exchange Limited (NGX), in keeping with its commitment to promoting high professional standards and ethical conduct within the capital market.

    Approved by the Securities and Exchange Commission (SEC) on 16 August 2023, the Code will take effect on 3 October 2023. Its primary objective is to establish and uphold acceptable standards of behaviour, thereby fostering professionalism, integrity, and fairness in the interactions of Approved Persons with clients, employers, employees, regulators, and other relevant stakeholders. This commitment is poised to bolster investor confidence and pave the way for a sustainable and thriving market.

    The Code emphasises high professional standards, reasonable skill, care, and prudence, as well as adherence to ethical and practical standards. Furthermore, it highlights the expected standards and values that Approved Persons must display at all times when conducting their businesses at all times.

    Commenting on the development, Ms Tinuade Awe, Chief Executive Officer, NGX Regulation Limited noted that “At NGX RegCo, we understand the profound impact that a strong ethical foundation can have on the integrity and sustainability of the capital market.” The Approved Persons Code of Conduct is an important step towards further strengthening a market where confidence is essential. We encourage our Trading Licence Holders’ Approved Persons to fully embrace this Code, demonstrating their commitment to best and fair practises and the highest professional standards. These are critical factors for establishing a market based on honesty and accountability, which will promote market depth, growth, and economic development”.

    On his part, Mr. Olufemi Shobanjo, Head, Broker Dealer Regulation, NGX RegCo, stated, “The Code of Conduct for Approved Persons of Trading Licence Holders reflects our ongoing efforts to improve the regulatory framework of the Nigerian capital market. We strongly encourage all Approved Persons of Trading Licence Holders to familiarise themselves with the Code and ensure its implementation and compliance within their organisations. At NGX RegCo, we stand ready to guide and support all stakeholders to ensure the smooth and hitch-free adoption of The Code, thereby cementing the foundation for a more robust and ethical capital market in Nigeria”.

  • Financial literacy, awareness, can help reduce unclaimed dividends – NGX

    Financial literacy, awareness, can help reduce unclaimed dividends – NGX

    Nigerian Exchange Limited (NGX) has said that a mix of financial literacy and awareness can help to reduce the growing number of unclaimed dividends in the capital market.

    This is coming after efforts by the Securities and Exchange Commission (SEC) to tackle rising unclaimed dividends in the nation’s capital market have continued to hit a brick wall. According to the commission, unclaimed dividends in the Nigerian capital market had risen to N190 billion from N180 billion recorded in 2021.

    Reacting to this development at a recent retail investors webinar themed; How to Process Outstanding Dividend’, the Divisional Head, Capital Markets, NGX, Jude Chiemeka, noted that some retail investors are unaware of the backlog of unclaimed dividends that have accrued to them over many years, especially those investors with legacy investment held on their behalf.

    Whilst adding that the webinar- held in collaboration with Futureview Asset Management Limited, is aimed at providing procedures to investors, especially the retail segment on how to process outstanding dividends and retrieve unclaimed dividends, Chiemeka said a mix of financial literacy and aggressive awareness can help to reduce unclaimed dividends in the market.

    He also added that the Exchange remains committed to utilising technology to optimise intermediaries and increase access to the market for retail investors. He said, “To this end, we have established a digital gateway to democratise access to the market, reduce friction and drive retail participation in the capital market.”

    Chiemeka assured that the SEC would continue to work assiduously with stakeholders to reduce the cases of unclaimed dividends in the market to the barest minimum.

  • NGX, CIS, ASHON to work with MOFI on market development, listings

    NGX, CIS, ASHON to work with MOFI on market development, listings

    Nigerian Exchange Limited (NGX), along with the Chartered Institute of Stockbrokers and the Association of Securities Dealing Houses of Nigeria (ASHON), have demonstrated their willingness to collaborate with the Federal Government through the Ministry of Finance Incorporated (MOFI) in facilitating market development and listings.

    This was disclosed during the Closing Gong Ceremony, held in honour of MOFI’s engagement with capital market stakeholders at the NGX trading floor in Lagos.

    Temi Popoola, the CEO of NGX, commended MOFI for its role as the custodian of government investments and assets, emphasizing that NGX is eager to collaborate with MOFI to facilitate capital access for listed entities and contribute to the advancement of Nigeria’s capital market. “This partnership is an opportunity for the capital market to actively play a key role in growing the economy under President Bola Tinubu’s agenda. This is an exciting time and you may have seen that our local investors really stepped up their participation in the market recently. We think that with a lot of foreign capital, together with the strengthening and enhancements that have been done, that the market is ready to support many initiatives from the government. We really look forward to working together towards the support in developing our markets”.

    On his part, Dr. Armstrong Takang, the CEO of MOFI, emphasized the importance of optimizing the value of government investments and assets, aiming to mobilize, structure, and deploy investment capital in priority sectors of the economy. He expressed the aspiration to grow MOFI’s asset under management (AuM) to at least N100 trillion. “MOFI intends to collaborate with NGX to guide companies in meeting governance, operational, and reporting requirements necessary for listing on the Exchange. This move also contributes to MOFI’s objective of professionalizing Government Owned and Government Linked entities (GOE and GLEs)”, he added.

    Expressing the institute’s enthusiasm for the partnership, Oluwole Adeosun, the President of the Chartered Institute of Stockbrokers (CIS), pledged cooperation with MOFI, particularly in areas like capacity development and other market-related initiatives. 

    Sam Onukwue, the Chairman of ASHON, noted that the partnership’s impact on the Nigerian economy would extend beyond financial gains to encompass broader socio-economic advantages that contribute to sustainable development.

    On her part, Tinuade Awe, the CEO of NGX Regulation Limited (NGX RegCo), highlighted the regulatory company’s commitment to collaborating with MOFI on matters of transparency, investor protection, and mitigating systemic risks.

  • UK to deepen investment relationship with NGX

    UK to deepen investment relationship with NGX

    The United Kingdom (UK) through its Foreign, Commonwealth and Development Office (FCDO) has stated that it will continue to focus on building future investment links and collaborate with Nigerian Exchange Limited (NGX) to ensure Nigeria’s economic potential is unlocked.

    This was even as the UK government announced the Mobilising Institutional Capital Through Listed Product Structures (MOBILIST) partnership with the Exchange which will facilitate increased investment in sustainable development in Nigeria through products listed on the Exchange. Rt Hon. James Cleverly, UK Secretary of State, FCDO disclosed these during the Closing Gong Ceremony held on the floor of the NGX on Tuesday.

    Cleverly noted that NGX, through its activities have a gravitational and attractive force to attract investment noting that investment fuels the economic activity, generates profit and unlocks the economic potential and feeds through jobs and prosperity for ordinary people for here in Nigeria and outside Nigeria.

    He added that with the UK government would love to see more of dual listings while adding that developing countries need at least $3.9 trillion in additional financing if it is going to have credible chance of achieving their sustainability goals. According to him, investment is going to help unlock the economic potential of Nigeria and the U.K government will not only keep hold of its existing ties with Nigeria but will collaborate with the NGX to attract listings as well as investment in the capital market.

    Commending the United Kingdom’s commitment to attaining Climate Neutrality by 2050 and its progress in transitioning to renewable energy sources, the Chairman, Nigerian Exchange Group Plc, Alhaji (Dr) Umaru Kwairanga said, “NGX remains fully committed to further strengthening its existing relationship with the UK by fostering even stronger partnerships and collaborations.”

    On his part, the Chief Executive Officer, NGX, Temi Popoola, noted that the U.K’s inputs and importance is evident across the verticals of the Nigerian capital market.  “We will continue to work with the U.K government on expanding the digital transformation process, deepening capital flows into our markets, promoting sustainability and climate change mitigation in the capital market”, Popoola stated.

  • NGX RegCO, ICAN sign MoU to enhance market regulation, investor protection

    NGX RegCO, ICAN sign MoU to enhance market regulation, investor protection

    In its bid to further enhance the effectiveness of regulation and investor protection in the Nigerian capital market, NGX Regulation Limited (NGX RegCo) signed a Memorandum of Understanding (MoU) with the Institute of Chartered Accountants of Nigeria (ICAN) on Monday, 10 July 2023.

    This milestone signifies closer collaboration between NGX RegCo and ICAN and reinforces their commitment to the development of the capital market and the financial services industry in Nigeria. The collaboration will harness capacity building and information sharing to foster a culture of competence and professionalism for market development. In addition, it entails the development of initiatives to further improve the quality of corporate reporting in the capital market.

    Speaking during the signing ceremony held at the Nigerian Exchange Group House in Lagos, the Chief Executive Officer, NGX RegCo, Ms Tinuade Awe emphasized that regulation had to be effective to create fairness in the market and collaboration between organizations like ICAN is critical to enhancing professionalism, ethics, integrity and transparency.

    She also noted the importance of technology in easing reporting and regulation, adding that NGX RegCo was collaborating with the Institute to enable it further deliver on its mandate of investor protection, creating fair and transparent markets and promoting compliance to global best practices.

    “We have a long history of over 60 years in the context of the Nigerian Stock Exchange but for NGX RegCo post-demutualisation, this is truly a historic moment. We believe that this cause that we are deliberately undertaking will enable both parties deliver efficiently on our shared objectives. We look forward to collaborating with ICAN and are sure that the Institute will see this collaboration as mutually beneficial,” Awe said.

    On his part, the ICAN President, Dr Innocent Okwuosa, emphasized that the partnership between both parties will foster a robust and transparent capital market ecosystem that will attract investment, encourage growth, sustainability reporting and safeguard the interest of all stakeholders.

    Okwuosa explained, “Accountants are at the forefront of financial reporting and so the information investors will work with are mainly driven by them. This underscores why both NGX RegCo and ICAN should cooperate and we are happy that today marks a new beginning.

    “The strategic alliance between NGX RegCo and ICAN is expected to have a profound and positive impact on the Nigerian capital market, promote investor confidence, strengthen regulatory oversight, and elevate professional standards within the industry.”

    The ICAN President reiterated that the Institute will continue to position itself in advising the government on supporting increased capital flows to the market, adding that it is ready to cooperate with NGX RegCo on awareness amongst accountants and other areas that would boost market development.

  • NGX reiterates commitment to upholding market transparency rules, regulations

    NGX reiterates commitment to upholding market transparency rules, regulations

    Nigerian Exchange Limited (NGX) reiterates its commitment to supporting the enforcement of regulations that enhances transparency in the capital market, by reminding investors to comply with rules on disclosure of substantial holdings in listed companies.

    Recall a circular to the market recently in which NGX stated that lack of appropriate disclosures by investors was a breach of its rules and other extant market regulations. According to NGX, the act also impacted market transparency and fairness as it creates information asymmetry. This, according to experts, could hamper price discovery, regulatory oversight and the accuracy of public disclosures.

    The Divisional Head, Capital Markets, NGX, Mr Jude Chiemeka noted that NGX is fully committed to maintaining the integrity and transparency of the Nigerian capital market.

    “We urge all investors to comply with our rules and regulations regarding the disclosure of substantial interests in listed companies. He added that refusing to comply with these guidelines creates information asymmetry, distorts public information and market data, and undermines the confidence of investors in our market. The Exchange will continue to take necessary actions to ensure compliance and promote a level playing field for all market participants.”

    The circular reminded investors of Rule 17.13 of the Rulebook of the Exchange, Issuers’ Rules, 2015, titled “Disclosure of Changes in Beneficial Ownership of Shares” which requires every Issuer to notify NGX immediately; about any transaction that takes the beneficial ownership of its shares to five per cent (5%) or more not later than ten (10) business days after such transaction.

    The circular also quoted the Rulebook’s section on free float requirements, Rule 2.2 which states, “Each Issuer shall incorporate in its half-year financial statement filed with NGX its shareholding pattern, and also indicate whether or not its free float is in compliance with NGX’s free float requirements for the Board on which it is listed.”

    Investors and all stakeholders are reminded to be guided by the provisions of the above NGX rules and circular. 

     

  • NGX, stakeholders to recommend solutions on deepening ETFs market

    NGX, stakeholders to recommend solutions on deepening ETFs market

    Nigerian Exchange Limited (NGX) in collaboration with key capital market stakeholders will be organising a workshop to address the major challenges and opportunities in the Exchange Traded Funds (ETFs) market.

    The NGX ETFs Conference themed “ETFs in the Nigerian Capital Market: Opportunities and Challenges” will hold virtually on Wednesday, 19 April 2023 and will feature major players in the capital market including retail investors; regulators; pension fund administrators; fund managers Issuers; trading license holders and other institutional investors.

    “The conference will provide an overview of the ETF Securities framework in Nigeria and enlighten market participants on the regulatory framework of the Securities and Exchange Commission (SEC) around ETFs,” said Clifford Akpolo, Head, Marketing and Corporate Communications, NGX. “It also aims to resolve the challenges experienced by issuers in the Nigerian ETF market. We believe the conference will further complement our efforts to boost liquidity and increase retail participation in the capital market.” Interested participants can register through this link http://bit.ly/ngx-etfs-forum.

    Speaking at the event are Dayo Obisan, Executive Commissioner, Operations, SEC; Jude Chiemeka, Divisional Head, Capital Markets, NGX; Adele Hattingh, Manager, Business Development and Exchange Traded Products, Johannesburg Stock Exchange; Adeyinka Shonekan, Executive Director, Central Securities Clearing System (CSCS) Plc; and Oladele Sotubo, CEO, Stanbic IBTC Asset Management.

    Also featuring on the panel are Ike Onyia, CEO, FBN Quest Asset Management; Oyelade Eigbe, Managing Director, Vetiva Fund Managers Limited; Aigbovbiose Aig-Imoukhuede, President, Fund Managers Association of Nigeria and CEO, Coronation Asset Management; Nornah Awoh, Chief Equity Analyst/CEO, Palesa Capital Markets Associates. The panel would be moderated by Wole Famurewa, Markets Editor, West Africa, CNBC Africa.

  • MTN Group CEO, Ralph Mupita, lauds NGX for democratising access to financial securities

    MTN Group CEO, Ralph Mupita, lauds NGX for democratising access to financial securities

    MTN Group Chief Executive Officer, Ralph Mupita, has lauded Nigerian Exchange Limited (NGX) for democratising access to financial securities, thereby empowering more Nigerians.

    He said this when in recognition of the importance of the partnership between MTN and NGX; he paid a courtesy visit to the management of the Nigerian bourse, led by its CEO, Mr. Temi Popoola. To mark the occasion, Mr. Mupita, was given the honour of sounding the closing gong to indicate market closure for the day.

    It will be recalled that last February, MTN and NGX announced the signing of a Memorandum of Understanding (MoU) to further promote financial literacy and enhance retail participation in the Nigerian capital market. The announcement was made at a signing ceremony led by Mr. Popoola and the CEO, MTN Nigeria, Mr. Karl Toriola.

    The MoU was a two-year partnership that would see NGX and MTNN collaborate to develop capital market solutions, leverage technology to support data dissemination and technology-as-a-service, promote capacity development and eliminate barriers to retail participation in the capital market.

    Commenting on the partnership, Mr. Popoola commends MTN for its unwavering efforts in advancing Nigeria’s technology landscape through substantial investments in infrastructure and digital transformation. “We are proud to acknowledge the advancements made through the successful public offering in 2021 and the MoU signed last year. These initiatives have successfully attracted a notable portion of the younger generation to the capital market, aligning with our goal to increase retail participation. I would also like to especially acknowledge the efforts of the financial advisers’ on the landmark offering led by Chapel Hill Denham. We are optimistic about the prospects of a mutually beneficial partnership with MTN that will reinforce the Nigerian economy and foster sustainable growth for the African continent.”

    According to Mr. Mupita, within a year of signing the MOU, a lot has been achieved due to the hard work invested on both sides in forging and sustaining a productive partnership: “At MTN, we believe we have a responsibility to ensure that our customers not only stay connected but can access increasing value and better services through our network, deepening their participation in the digital economy. Our collaboration with NGX allowed us to empower our customer base with the tools and knowledge to engage effectively with the capital market and meet their financial and investment objectives. For this, NGX deserves to be commended for democratising access to financial securities, and thereby empowering more Nigerians.”

    On his own part, MTNN CEO, Mr. Toriola said: “We will continue to identify other areas of cooperation with NGX and we look forward to a continuous mutually beneficial partnership that will contribute to the inclusive growth of the Nigerian economy.”

    The courtesy visit is also coming on the first anniversary of the completion of its landmark public offer in Nigeria, which was completed on January 31st 2022.  Widely applauded as the first public offer to be conducted via a digital platform in Nigeria, the offer expanded MTN Nigeria’s domestic shareholder base to include 126,720 retail investors alongside a range of institutional investors, including Nigerian pension funds representing approximately 6.5 million Nigerian contributors.

  • NGX Weathers Global Market Downturns in 2022, Makes Strong Showing with Landmark Listings

    NGX Weathers Global Market Downturns in 2022, Makes Strong Showing with Landmark Listings

    …2023 likely to be dawn of new day for market, Nigerian economy, says Popoola

    Nigerian Exchange Limited (NGX) made a strong showing with its performance in the year 2022 as it recorded landmark transactions.

    At the NGX 2022 Market Recap and 2023 Outlook held on Wednesday, 25 January 2023, the Chief Executive Officer, NGX, Mr Temi Popoola said, “In 2022, the equities market performance as evidenced by the 19.98% increase in the NGX All-Share Index, which rose from 40270.72 to 51,251.06 just as the market capitalisation also closed at a high of N27.92tn, up from N21.06tn the previous year. The total turnover of trades in 2022 improved by 27% from N916bn to N1.16tn year-on-year from 2021. Market participation was heavily skewed to the domestic investors. The Fixed Income market saw a slight uptick in turnover to N3.89bn in 2022 from N3.53bn recorded in 2021. This represents a 10.20% YoY increase.

    “The Exchange Traded Funds market capitalisation increased from N7.35Bn in 2021 to N8.42Bn in 2022, representing a 14.56% increase in the market capitalisation. Stanbic IBTC ETF 30 which tracks the performance of NGX 30 index was the best-performing ETF in 2022, having began the year at N68.5 and closed at N245, reflective of 257.66% returns. ETF transactions fell from N34.22bn in 2021 to N211.02m in 2022. This represents a 99.38% decline in ETF turnover”.

    “Altogether, this signalled a good year for the Exchange despite global macroeconomic headwinds,” Popoola added.

    Landmark Listings

    The yearly performance can be attributed in part to the N4.3trn in listings recorded by NGX across Equities and Fixed Income markets. These listings included the raising of N2.54trn of bond listings for the Federal Government of Nigeria, as well as equity listings totalling N1.35trn from companies such as BUA Foods Plc and Geregu Power Plc.

    Corporate bond listings also contributed significantly to the Exchange’s performance, with a total of N364.78bn raised through listed instruments such as Dangote Industries Plc’s N177.12bn senior unsecured bonds, Lagos Free Zone Company SPV Plc’s N25bn fixed rate infrastructure bonds and Ardova Plc’s N11.44bn and N13.86bn fixed rate senior unsecured bonds. NGX also listed FGN Multi-Tranche $4bn Eurobonds which further demonstrated its diversity of offerings and its ability to attract a wide range of businesses looking to raise capital.

    The value of these listings displays NGX’s commitment to positioning itself as a premier location for capital raising and formation, as well as its ongoing development efforts in the Nigerian capital market post its demutualisation. The Exchange’s ability to facilitate a wide range of transactions and attract a diverse range of businesses highlights its position as a leader in financial market innovation and progress on the African continent.

    Partnerships

    NGX partnered with MTN Nigeria to further enhance retail participation in the country’s capital market. NGX also forged strategic partnerships by signing a Memoranda of Understanding with the Bank of Industry and Dubai Financial Market to deepen the capital market and build capacity for inclusive growth. These spotlighted the Exchange’s commitment to supporting the development of the Nigerian capital market and fostering growth and prosperity in the country.

    Sustainability Drive

    NGX demonstrated its commitment to sustainability in 2022 through several initiatives and collaborations. To further catalyse Nigeria’s path towards reducing greenhouse emissions and aligning with the objectives of the Paris Agreement, NGX collaborated with the International Finance Corporation (IFC) on a Green, Social and Sustainability Bonds workshop for capital market stakeholders.

    NGX, through its specialised knowledge platform, X-Academy, collaborated with NGX Regulation Limited (NGX RegCo) and Global Reporting Initiative (GRI) on a capacity building session focused on sustainability reporting and Environmental, Social, and Governance (ESG) disclosures for listed corporates.

    The Exchange joined over 100 securities exchanges around the world in celebrating International Women’s Day and Ringing the Bell for Gender Equality. The event, hosted in collaboration with the International Finance Corporation (IFC), Sustainable Stock Exchanges (SSE) Initiative, United Nations (UN) Women, United Nations Global Compact (UNGC), and World Federation of Exchanges (WFE), brought stakeholders together to explore the key issues that could facilitate progress towards gender equality through policy and finance.

    NGX continues to progress in its EDGE certification process with the support of the IFC under the Nigeria2Equal Programme. This certification recognises organisations that are committed to gender equality in the workplace, and NGX’s participation demonstrates its dedication to promoting sustainable and inclusive practices.

    Product Development and Innovation

    April 2022 was a particularly significant month, with the launch of West Africa’s first Exchange Traded Derivatives market on NGX. This innovative development expands the exchange’s offerings and cements its position as a leader in the African financial market.

    The approval of the NGX Technology Board Listing Rules by the Securities and Exchange Commission (SEC) and the hosting of the Made of Africa Awards, which recognised and rewarded innovation and compliance were the highlights in December. The approval of the listing rules further demonstrates NGX’s commitment to providing a reliable and efficient platform for capital raising and positions the Exchange as an attractive destination for capital formation by companies within the Technology sector. The Made of Africa Awards highlighted the Exchange’s dedication to fostering innovation and spurring compliance to best practices in the capital market.

    NGX’s strategic partnership with other exchanges in Africa under African Securities Exchanges Association yielded fruits with the launch of the African Exchanges Linkage Project, (AELP) which is aimed at boosting trade and capital flows between African capital markets. The CEO, NGX, Temi Popoola was also elected to the executive committee of the African Securities Exchanges Association.

    The year was brought to a close with a high note as popular filmmaker, Kemi Adetiba closed the market, with NGX soaring by 19.98%. This strong finish to the year was a testament to NGX’s continued success and growth in the Nigerian capital market.

    Overall, the data and events of 2022 demonstrate the Exchange’s focus on providing a reliable and efficient platform for capital raising and formation, as well as its ongoing product and services expansion in the Nigerian capital market. Its dedication to fostering sustainable development in the African economy positions it as a driving force for innovation and progress on the continent.

    2023 Outlook

    According to Popoola, NGX would take a flexible approach to strategy execution in 2023, doubling down on its 2022 achievements and expanding on several levers. “As you know, the NGX Technology Board Listing Rules were approval by the apex regulator, the Securities and Exchange Commission in December 2022. With this, we aim to drive more technology companies to the Exchange and deepen capital formation in the technology sector. Currently we are in consultations with stakeholders in the sector and we are confident of securing a few big names within the year,” the CEO added while speaking at the event.

    “On strategic partnerships, we will be forging more with development finance institutions, banks, both local and international to further develop the market. We aim to do more on trading where we improve data dissemination to attract a larger investor base, especially from the retail side. We will be using listings as a vehicle for meeting strategic aspirations as the new dispensation comes in through increased advocacy and engagement.

    “NGX sees sustainability as not just important but also a profitable frontier of its business and work is ongoing on developing a framework for certifications in carbon credits trading, pending regulatory approval. On the capital market’s digital transformation, the Exchange is working on USSD launch in collaboration with Telcos and Banks; unlocking the African Capital markets via payment integration with Afreximbank’s Pan African Payment Settlement System.”

    The Exchange also sets its sight on developing new products aimed at attracting the lower rung of the Nigerian demography, says Popoola. “NGX is also focused on increasing youth participation by creating digital asset products powered by Blockchain technology, non-depository receipts and overall increasing the pool of available liquidity in the market. Altogether, 2023 is likely to be a new dawn for the market and the Nigerian economy as significant events take shape in the macroeconomic and political environments.”

  • Experts Applaud MTN’s Novel Public Offer

    Experts Applaud MTN’s Novel Public Offer

    MTN Nigeria’s novel approach to its Public Offer has received commendation from Capital Market experts at the 2022 Investment Banking Awards organised by the Association of Issuing Houses of Nigeria (AIHN).

    A panel which included Chidi Iwuchukwu, Head, Investment Banking, Rand Merchant Bank; Dr. Ola Brown, Founder, Flying Doctors Healthcare Investment Group; Haruna Jalo-Waziri, Managing Director/CEO, Central Securities Clearing Systems Plc; Adeniyi Falade, Group Executive Director, Custodian Investment Plc and Danladi Verheijen, Managing Partner/Co-Founder, Verod Capital, discussed “The Future of Money – Prospects for Equity and Capital Raising in Nigeria”.

    The experts agreed that MTN has provided a template for packaging public offers going forward and recommended the same for other companies looking to raise capital to improve economic prospects for Nigerians and the African continent.

    Commenting further, Haruna Jalo-Waziri, said, “The innovative, technology-based approach provided a seamless, cost-effective and beneficial offer to investors, in turn kicking off a momentum in the market that needs to be sustained.”

    MTN Nigeria emerged as the winner from top three shortlisted firms for the Capital Market Titan Award 2021 category in recognition of the company’s active participation in the Nigerian Capital Market for the 2021 financial year.

    Receiving the award on behalf of MTN Nigeria, Modupe Kadri, Chief Financial Officer, said, “We are delighted by the high level of interest investors have shown in MTN Nigeria and we are particularly inspired by the number of young people who participated in the Capital Market, for the first time, through our Public Offer. We are convinced that technology and innovation will play a large role in expanding access and inclusion for Nigerians. This is just the beginning,” Kadri concluded.

    The event was held at the Civic Centre, Lagos on Thursday, July 7, 2022.

  • Dangote Cement best Performing Stock – Nigerian Exchange

    Dangote Cement best Performing Stock – Nigerian Exchange

    Africa’s largest Cement manufacturer, Dangote Cement Plc, has emerged the Best Performing Stock of the Year 2021 by the Nigeria Exchange Group (NGX).

    Dangote Cement pride as the most capitalized company on the Nigeria Stock Exchange was named the best stock ahead of BUA Cement Plc and CAP Plc, during the 2022 Nigerian Investor Value Award (NIVA) organized by the Businessday in collaboration with the Nigeria Exchange Group

    The coveted award is meant for two classes of companies namely, the listed companies segment and the Next Bull segment with Dangote cement leading the pack in the Listed Companies best-performing stock, in the Industrial goods category having been adjudged to have recorded stellar performance in creating value on the Nigeria Stock Exchange on the basis of criteria such as share price, dividend payments, sustainability, brand value, market leadership and business strategy against its peers during the period under review.

    In his address on the occasion, the Chief Executive Officer, Nigeria Exchange Limited, Mr. Temi Popoola, who was represented by the Divisional Head, Capital Market, Mr. Jude Emeka said the award by the Businessday Media Limited underlined Nigeria Exchange Group’s goal of promoting actionable and effective multi-stakeholder dialogue on issues central to a well-functioning financial system.

    While acknowledging that the winner organizations are worthy and truly deserving the honour, he clarified that the winners were selected from among companies that are active and the investors have expressed strong demand to own their shares.   

    “As a responsible entity, known for aligning with best global practices, we recognize the importance of corporate governance and effective board leadership in driving sustainability on the business front. That is why we choose to not only recognize listed companies who are blazing the trail in investor relations but also contribute to building a sustainable socio-economic standard in governance, regulation and compliance.

    The Nigeria Exchange boss said the leveraging of investments in business innovation and its diversified range of products and services coupled with robust engagement, we are well on our way to achieving our aspiration to be Africa’s preferred exchange hub especially given the number of advances that have been implemented recently including the launch of the NGX Exchange Traded Derivates Market which saw the listing of two Equity Index Futures Contracts, NGX30 Index Futures and the NGX Pension Index Futures. 

    He assured that the NGX remained resolute in its commitment to the provision of a scalable and enterprising platform for issuers and investors to meet their financial objectives irrespective of the prevailing conditions.

    Mr. Popoola said “we will continue to consolidate on the advances by focusing on key initiatives aimed at creating and growing the capital market for the benefit of all key stakeholders.

    In his address of welcome, the Publisher, Businessday, Mr. Frank Aigbogun said the NIVA formerly known as the Top 25 CEOs Award recognizes leaders of private and public companies who have created sustainable alpha-generating value for their shareholders through strategic priorities, operation efficiency, organizational values and marketing engagement activities.

    He explained that COVID-19 was what most companies, including Nigerian businesses, never envisaged but the reality today is that Russian-Ukraine crisis has again emphasized the urgent need for backward integration and value addition to the nation’s primary produce. Aigbogun expressed happiness that the Nigeria capital market has remained strong in the mix of the global realignment that is going on consequent of the Ukrainian crisis.

    Mr. Obu Oliver, the Group Financial Controller, Dangote Cement Plc. who received the award thanked the organizers for the award and assured that the companies would not rest on its oars in sustaining the strategies that make the stock the best performing.

  • Stanbic IBTC Stockbroking Zero Account Opening Campaign Drives Market Participation

    Stanbic IBTC Stockbroking Zero Account Opening Campaign Drives Market Participation

    Stanbic IBTC Stockbrokers Limited, a subsidiary of Stanbic IBTC Holdings PLC, has introduced the Stanbic IBTC Stockbroking Zero Account Opening campaign to help drive local participation in the capital market. The campaign, the company said, is targeted at removing the limitations to equity investment and providing investment opportunities that would attract the influx of new investors, especially the younger generation, into the Nigerian capital market thereby facilitating market growth.

    Stanbic IBTC Stockbrokers removed the minimum account opening balance for investors to open a stock brokerage account, thereby allowing them to enjoy the capital appreciation and income potential of the market and help secure their financial future. It also reduced the brokerage fees previously charged when clients use the online platform, making it easy and affordable for everyone to invest.

    Stanbic IBTC’s stockbroking zero programme is designed specifically to meet the needs of investors who have in the past been discouraged from participating in the market. Stanbic IBTC Stockbrokers reiterated that it is committed to driving market participation by bridging the gap in the capital market and giving room for potential investors who are willing to grow their wealth.

    As a key player in the capital market, with a market share of over 11% of the value of shares traded on the Nigerian Exchange Limited, the stockbroking firm stated that it is committed to extending the reach of the capital market to accommodate more investors through efficient and effective execution that would attract both the young and the old generations thereby increasing the level of financial inclusion in the country.

    As part of the campaign, the stock brokerage firm is also leveraging its digital tools to help simplify and make the trading processes seamless. It also offers investors market opportunities and market trend information to help in their investment decision-making. 

    Individuals can now open an account via its Stanbic IBTC mobile app or electronic trading (e-Trade) platform on its website without any initial deposit and start enjoying the benefits of the capital market.

    The stockbroker is committed to driving the growth of the capital market and helping many Nigerians secure and preserve their wealth. Investors can make stock trading transactions via the Stanbic IBTC self-service options available on the stocks module on the Stanbic IBTC Mobile App and the e-Trade portal on the Stanbic IBTC Stockbrokers’ website.