NGX Group Shareholders Approve N1.5bn Final Dividend, N10bn Rights Issue

Shareholders of Nigerian Exchange Group Plc have approved plans by the Company to raise additional capital of N10 billion by way of rights issue from existing shareholders to boost its business operations.
They also approved a final dividend of N1.5 billion, translating to 75 kobo per share. NGX Group had earlier declared an interim dividend of N495.53 million, culminating to 25 kobo per share, bringing the total dividend payout for the 2023 financial year to N1 per share.

The shareholders gave their approval at the 63rd yearly general meeting of the NGX Group held yesterday in Lagos.

Speaking to shareholders, chairman of NGX Group, Alhaji Umaru Kwairanga said, “I am particularly grateful to our shareholders for their assent to the critical business we conducted today. As the Board oversees the strategic direction and gives management the necessary support and guidance, we believe that the coming year will be a better one in terms of value created for our shareholders.

“NGX Group is positioned to capitalise on opportunities amid the positive and forward-looking reforms by the government and our stakeholders should rest assured we will deliver excellently.”

Also, the group managing director/chief executive officer, NGX Group, Temi Popoola, said, “the future of our business and the capital markets hinges on technology. That is why we are driving this digital transformation journey across our subsidiaries through the Group. NGX Group’s digital transformation will democratise access to public issuances for every Nigerian with a mobile phone, supporting capital-raising efforts for companies. Additionally, we aim to commercialise our technology solutions and expand our footprint across Africa.”

Reviewing its performance in 2023, Popoola said the group secured N7.74 trillion new listings during the period with FGN bonds accounting for over 85 per cent of the figure.

According to him, the federal government listed 64 FBN bonds translating to a market value of nearly N6.98 trillion, overshadowing the listings from corporate bodies and the Lagos state Government which stood at N486.22 billion and N274.14 billion respectively.

Popoola said that the trend not only validates the market resilience but also emphasises its critical role in offering viable investment opportunities that help navigate through economic realities.

He pointed out that the Group posted gross earnings of N11.8 billion, representing a 57.4 per cent rise when compared to N7.5 billion achieved in the corresponding period in 2022. He said the upturn was due to its dynamic revenue stream, in addition to a significant uptick in transaction fees by 52.6 per cent driven by increased trading activities, alongside substantial increase in listings fees and rental income by 42.2 per cent and 41.8 per cent.

He added that its strategic investment yielded a 5.4 per cent increase in treasury investment income.