The Nigerian Stock Exchange (NSE) will today launch its Growth Board(GB) to provide issuers with the opportunity to list, raise long term capital and facilitate liquidity in the trading of their shares on the exchange.
With a total of 41.5 million Micro, Small and Medium Enterprises(MSME) operating in Nigeria, the launch of the GB is designed to encourage the listing of growth companies and provide them with a cost-effective platform to raise the capital needed to scale, attract investors, enhance corporate visibility and put in place a regulatory structure that fosters growth.
According to the NSE, the GB was established as part of its initiative to elevate the Nigerian capital market and meet the needs of businesses at every phase of their lifecycle.
Commenting on the GB, Head, Listings Business Division,NSE, Mr. Olumide Bolumole, said:“The launch of the NSE GB further re-affirms NSE’s long standing tradition of supporting the development of SMEs in Nigeria by offering entrepreneurs opportunities to access finance and scale their businesses. The GB is expected to attract small to medium-sized companies that exhibit the potential for fast growth in their corporate earnings and are in the growth phase of their business cycle. It will also offer investors the opportunity to invest in such companies with potential for high returns/capital gains.”
He explained that in line with NSE’s its efforts to deliver value to listed companies, the exchange will present companies aspiring to list or are listed on the GB with access to its value added services programme that are designed to: create competitive edge for listed companies; facilitate new listings; stimulate investors’ interest through enhanced information delivery and assist companies in complying with post listing obligations to retain their listing status.