You are here: HomeBusiness2020 11 19Article 395698

Business News of Thursday, 19 November 2020

Source: Punch

NSE members approve listing of NGXG Plc

The members of the Nigerian Stock Exchange on Wednesday voted at its 59th Annual General Meeting to support the listing of the Nigerian Exchange Group Plc on the Nigerian Exchange Limited once the demutualisation of the NSE is completed.

Under the resolution passed at the AGM, subject to the receipt of requisite approvals of relevant regulatory authorities, following the conversion and re-registration of NGXG, the group is authorised to undertake a listing by introduction of its shares on NGX.

Consequently, the NSE will no longer be wholly owned by its dealing and non-dealing members.

The AGM, which is expected to be its last as a mutual entity, was convened to consider ordinary and special business as outlined in the published notice of the meeting.

Some of the other key resolutions unanimously approved at the AGM included: audited financial statements of the exchange for the year ended December 31, 2019, and the reports of the national council and the auditors thereon.

Following the conversion and re-registration of the exchange as Nigerian Exchange Group Plc, the powers of the National Council of the Exchange will be devolved to the Board of Directors of the Group.

Wednesday’s vote cleared the way for the listing of NGXG and for a new structure that will enable the exchange to realise its vision of becoming Africa’s leading exchange hub.

The President of the National Council of the Nigerian Stock Exchange, Otunba Abimbola Ogunbanjo, said, “The national council welcomes the strong endorsement by the members of the exchange for our listing plans. On behalf of the council, we wish to thank the exchange’s management for their outstanding work in the previous year, when they have faced unprecedented challenges such as the coronavirus pandemic.

“It is a tribute to their efforts that the exchange has continued to work effectively and at the same time has made significant progress in pursuing its strategic development through the listing and other steps.”

The Chief Executive Officer, NSE, Mr. Oscar Onyema, who is the Group CEO of NGXG Plc designate for the new structure, said, “We would like to thank the membership of the exchange for their overwhelming support of the listing plans.

“This marks the beginning of the exchange’s transformation into a listed company with the flexibility to raise additional equity and/ or debt capital. It is our aim that under this new structure, the Nigerian capital markets will be able to play a role that is commensurate with Nigeria’s status as Africa’s biggest economy.

“We believe we can become a financial hub for Africa and with the backing of our stakeholders and their continued use of our services this objective can become a reality.”

It would be recalled that the NSE’s demutualisation was unanimously approved by its members at its court-ordered meeting held in March 2020.

The demutualisation of the exchange is subject to the approval of the Securities and Exchange of Nigeria.

Join our Newsletter