The Nigerian Stock Exchange on Monday announced that it had migrated Access Bank Plc, Lafarge Africa Plc, Seplat Petroleum Development Company Plc and United Bank for Africa Plc to its Premium Board.
It said the companies applied and met the Exchange’s listing requirements for the board, a platform for showcasing companies that are industry leaders in their sectors.
The Premium Board is the listing segment for the elite group of issuers that meet the Exchange’s most stringent corporate governance and listing standards.
The board, according to a statement from the bourse, features companies that adhere to international best practices on corporate governance and meet the Exchange’s highest standards of capitalisation and liquidity.
The board gives a company access to a global pool of investors who are focused on companies managed in conformity to the highest standards in their target markets, the statement said.
Access Bank, Lafarge Africa, Seplat and UBA have all passed the Corporate Governance Rating System and have market capitalisation of N347.12bn, N378.60bn, N391.37bn and N374.48bn, respectively.
They have joined Dangote Cement Plc, FBN Holdings Plc, and Zenith International Bank Plc that were migrated to the Premium Board in 2015, bringing the total number of companies on the Board to seven.
Commenting on the development, the Chief Executive Officer, NSE, Mr. Oscar Onyema, said, “This migration affirms the strides our listed companies are making towards meeting the highest standards of corporate governance and underpins the robustness of our market. The new companies have consistently demonstrated their inherent values to be globally competitive brands and we congratulate them on the attainment of this migration.
“Companies on the board are already enjoying the highest levels of visibility and appeal to investors looking for large companies with highest standards of corporate governance.”
According to him, from inception to date, the Premium Board Index continues to outperform the benchmark NSE ASI with the Premium Board recording a total return of 84.99 per cent versus the NSE ASI’s 41.79 per cent as of April 11, 2018.
“The Premium Board’s performance continues to reinforce the sentiments of both foreign and domestic investors on the importance of corporate governance and sustainability,” Onyema added.
Seplat, in a statement on Monday, described the migration as historic “because Seplat became a listed company just four years ago on April 14, 2014 and with this migration becomes the first in the oil and gas sector to attain the Premium Board.”
Commenting on the migration, the Chairman, Seplat, Dr. ABC Orjiako, said, “Seplat has always adhered to international corporate governance best practices in every area of our operations as Nigeria’s pre-eminent independent company.
“Conformity with rules and processes were critical to our historic dual listing on the NSE and LSE in 2014. I am glad to see our company be the first company in the oil and gas segment to attain the Premium Board of the NSE.”
To be listed on the Premium Board of the NSE, according to the statement, the aspiring companies must attain a minimum market capitalisation of N200bn as at the date of application.
