The Nigerian Exchange Limited, on Wednesday, listed Geregu Power Plc, which is chaired by billionaire businessman, Femi Otedola, on the Main Board of The Exchange.
2.5 billion ordinary shares of 50 kobo each at N100 per share were admitted by the Exchange by way of listing under the Utility sector and Electric Power Generation sub-sector of the NGX, with the trading symbol, GEREGU.
This makes Geregu Power the first power generation company (GenCo) to be listed on the NGX Main Board, a listing segment for well-established companies with demonstrable records of accomplishments.
The listing of Geregu Power Plc shares added N250,000,000,000 to the market capitalisation of NGX, further boosting liquidity in the Nigerian capital market which aims to provide opportunities for wealth creation.
On its first day of trading, Geregu Power’s share price rose by 10% to close at N110 per share, pushing its market capitalization to N275 billion. 8.5 million units of the shares valued at N935 million exchanged hands on Wednesday.
Geregu Power Plc on Wednesday announced its closed period in respect of the Q3 2022 unaudited financial statements for the period ended September 30, 2022. The company said the closed period commenced on October 1, 2022.
In his reaction to the listing, the Chairman, Board of Directors, Geregu Power Plc, Femi Otedola, said: “The listing of the company was the actualisation of a vision to bring world-class standards in governance, sustainability, and business processes to the Company and the Nigerian electricity sector.
“Listing on the Main Board of the Exchange will ensure that the long-term growth of the company is assured and its benefits will be passed on to our esteemed shareholders,” he added
Speaking on the development, Chairman, NGX, Abubakar Mahmood, said: “We are particularly pleased that Geregu Power has joined the prestigious group of companies listed on our Main Board, which will differentiate it as a professionally run power company with high standards, having met NGX’s listing criteria.
“A Main Board listing is a sign of commitment to strong corporate governance, excellence, professionalism, efficiency in service delivery, and providing increased returns to shareholders.
“It is our expectation that the Geregu Power listing will encourage other power generation and distribution companies to list their shares on the Exchange, thereby opening the sector up to cheaper, long-term capital that will boost infrastructural development and value creation.”
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Ifunanya Ikueze is an Engineer, Safety Professional, Writer, Investor, Entrepreneur and Educator.