By Toyosi Olajide
Following positive sentiment and the recent listing of BUA Foods Plc, investors in the consumers’ goods sector quoted on the main board of the nation’s stock market gained about N1.100 trillion during the first two months of the year 2022 (January – February).
It was revealed that the sub-sector gained N1.100 trillion or 45.45 percent to close at N3.520 trillion in market capitalisation on February 28, 2022 indifference to an opening figure of N2.420 trillion at the beginning of trading on January 4.
Shares from BUA Foods’ listing had added N720 billion to the market capitalisation of NGX during the period, also boosting liquidity in the Nigerian capital market and providing opportunities for wealth creation. It is required that the listing will also increase the visibility of the food manufacturing, processing, and distribution company to investors on the African continent and across the globe.
The Chief Executive Officer, NGX, Mr. Temi Popoola, commended BUA Foods Plc for taking the courageous step to join its subsidiary company, BUA Cement, as a public listed company on the Exchange.
He added: “The listing of BUA Foods Plc on the Exchange reaffirms the confidence that leading Nigerian corporates have in NGX as the partner of choice for raising capital and enabling sustainable growth and development.
“I must commend the efforts made by the management of BUA Foods towards this listing and the roles played by all the professional parties to this transaction including; Stanbic IBTC Capital Limited, Rand Merchant Bank Nigeria Limited, UCML Capital Limited, APT Securities Limited, and Cardinal Stone Securities Limited.”
He further stated: “At NGX, this milestone transaction is in line with our strategic objectives to improve listings and enhance investors’ participation in our market.
“As a multi-asset exchange, NGX is strategically positioned to be the preferred listing and investment destination connecting Nigeria, Africa, and the world. I must, therefore, encourage capital market players and enthusiasts at home and abroad to pay closer attention to the plethora of opportunities available in our market both to list securities and make the most of their investments,” Popoola added.
The Chairman, BUA Group Plc, Abdul Samad Rabiu, represented by Group Executive Director, BUA Foods Plc, Alhaji Kabiru Rabiu, stated: “Today for us is very historic and we are excited to begin the year with the listing.
However, the population of Nigeria is over a 200million and our food production capacity is still not enough to meet current demands. However, with the listing of our food business on the NGX, there is high hope for Nigeria in terms of building capacity for food sufficiency.
“We are, therefore, positioning our brand to take advantage of export opportunities through our strategically located plants from which foreign exchange can be generated both for the company and economy. As a listed company, BUA Group has benefitted first-hand from NGX’s efforts to chart a path for the sustainable development of the Nigerian economy.
“It has, therefore, been exciting for BUA Foods to go through a similar journey and we are confident that by leveraging the collaborative approach prevalent in the market, the entire group of companies will be equipped to increasingly deliver value to its shareholders.
“We certainly look forward to benefitting from the new opportunities that have opened up to us on the platform of the Exchange.”