NGX’s Path to a $100 Billion Market Cap: Bold Moves Ahead
Breaking Down the Road to $100 Billion for NGX
The Ambitious Journey
In 2012, Oscar Onyema, then CEO of the Nigerian Stock Exchange (now NGX), set a bold $1 trillion market capitalisation target for 2016. Fast forward to 2024, the exchange’s market cap stands at about $36 billion. A revised goal of $100 billion seems more attainable and could significantly boost Nigeria’s economy.
Current Market Snapshot
• NGX’s market cap-to-GDP ratio is at 17.5%, showcasing room for growth.
• Impressive resilience:
• A 45.9% return in 2023 despite modest GDP growth.
• The world’s best-performing stock exchange in 2020 with a 50% growth rate.
• Wealth creation through dividends:
• Dangote Cement has distributed ₦2.83 trillion in dividends since 2010.
• Seplat Energy has paid over $600 million in dividends since 2014.
• Companies raised over ₦1.5 trillion in dividends in 2023.
Strategic Pathways
1. Oil & Gas Listings
Expanding the exchange with oil majors like Sapetro and Aiteo could add ₦6 trillion ($3.4 billion) to the market cap.
2. ️ Dangote Refinery & Fertilizer
Listing these giants could contribute ₦37.8 trillion combined, elevating NGX’s cap to over ₦103.8 trillion.
3. Nigeria Liquefied Natural Gas (NLNG)
Potential listing of NLNG with a projected valuation of $5 billion (₦8.75 trillion).
4. Tolaram Group
By listing subsidiaries like Indomie and Kellogg Tolaram, the group could contribute an additional ₦1 trillion.
5. Nigerian Bottling Company
Returning to the exchange with an estimated market cap boost of ₦250 billion.
6. Globacom Limited
Despite recent subscriber base recalibration, Glo’s listing remains a significant growth opportunity.
Conclusion
Achieving a $100 billion market cap will require strategic listings of high-performing firms across industries, from energy to telecommunications. With resilience and consistent returns, NGX is on track to become a major economic force.
What’s your take? Should these companies take the leap?
Breaking Down the Road to $100 Billion for NGX
The Ambitious Journey
In 2012, Oscar Onyema, then CEO of the Nigerian Stock Exchange (now NGX), set a bold $1 trillion market capitalisation target for 2016. Fast forward to 2024, the exchange’s market cap stands at about $36 billion. A revised goal of $100 billion seems more attainable and could significantly boost Nigeria’s economy.
Current Market Snapshot
• NGX’s market cap-to-GDP ratio is at 17.5%, showcasing room for growth.
• Impressive resilience:
• A 45.9% return in 2023 despite modest GDP growth.
• The world’s best-performing stock exchange in 2020 with a 50% growth rate.
• Wealth creation through dividends:
• Dangote Cement has distributed ₦2.83 trillion in dividends since 2010.
• Seplat Energy has paid over $600 million in dividends since 2014.
• Companies raised over ₦1.5 trillion in dividends in 2023.
Strategic Pathways
1. Oil & Gas Listings
Expanding the exchange with oil majors like Sapetro and Aiteo could add ₦6 trillion ($3.4 billion) to the market cap.
2. ️ Dangote Refinery & Fertilizer
Listing these giants could contribute ₦37.8 trillion combined, elevating NGX’s cap to over ₦103.8 trillion.
3. Nigeria Liquefied Natural Gas (NLNG)
Potential listing of NLNG with a projected valuation of $5 billion (₦8.75 trillion).
4. Tolaram Group
By listing subsidiaries like Indomie and Kellogg Tolaram, the group could contribute an additional ₦1 trillion.
5. Nigerian Bottling Company
Returning to the exchange with an estimated market cap boost of ₦250 billion.
6. Globacom Limited
Despite recent subscriber base recalibration, Glo’s listing remains a significant growth opportunity.
Conclusion
Achieving a $100 billion market cap will require strategic listings of high-performing firms across industries, from energy to telecommunications. With resilience and consistent returns, NGX is on track to become a major economic force.
What’s your take? Should these companies take the leap?