Nigerian Bourse May List Fewer Than 10 Companies This Year

The Nigerian Stock Exchange (NGSEINDX), sub- Saharan Africa’s second-largest bourse, will probably list fewer than 10 companies this year, Taba Peterside, its head of listings, said.

“It’s very much a pipeline process, this year we’ve had one listing, which is an indigenous company” she said today in an interview in Lagos, the commercial capital. “We’ve seen a lot of companies which maybe were targeting third and fourth quarter now going into the next year.”

The exchange of Africa’s biggest oil producer is aiming for a market value of $1 trillion by 2016 from just under $80 billion currently, Peterside said. The bourse wants more companies to list to increase the size and volume traded and has identified around 500 potential candidates.

The West African nation’s All-Share Index has risen 9 percent this year, after a 16 percent slump in 2011.

For some larger companies “there’s also the issue of watching the market, a lot of them are sitting on the sidelines because of what has happened in the last two or three years, even though in the last quarter we’ve seen an uptick,” said Peterside.

To contact the reporter on this story: Chris Kay in Lagos at ckay5@bloomberg.net

To contact the editor responsible for this story: Gavin Serkin at gserkin@bloomberg.net

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