The Nigerian Stock Exchange has announced the migration of Chellarams Plc, Living Trust Mortgage Plc, McNichols Plc, and The Initiates Plc from the Alternative Securities Market (ASeM) to the Growth Board and the launch the associated Growth Board Index on Monday, 30 November 2020.
This migration, according to a statement by the Exchange, follows the receipt of applications from these companies requesting to be migrated from ASeM, and consequent screening and approval by the National Council of The Exchange.
The NSE Growth Board was launched to assist small and medium scale enterprises (SMEs) and growth-oriented companies looking to raise capital and promote liquidity in the trading of their shares. It offers relaxed entry criteria with less stringent listing requirements making it easier to attract capital flows along with reduced pre and post listing obligations.
Commenting on the development, the Chief Executive Officer, NSE, Mr. Oscar N. Onyema, OON, stated: “This migration affirms the notable efforts of the four companies to meeting corporate governance standards and underpins the robustness of our market. We congratulate and are pleased to migrate Chellarams Plc, Living Trust Mortgage Plc, McNichols Plc, and The Initiates Plc to the Growth Board where they will have access to a suite of value added services that will give them a competitive edge beyond access to capital. We believe that the inclusion of these companies on the All Share Index and the Growth Board Index of the NSE willprovide increased visibility that will attract global investors.”
The migration of the four qualified companies was commemorated with a virtual Closing Gong ceremony where the Chairman, Chellaram Plc, Asiwaju S.K. Onafowokan OON; Chairman, McNichols Plc, Olusegun Layode; Chairman, Living Trust Mortgage Plc, Alhaji Adebayo Jimoh; Chairman, The Initiates, Joe Ogbonna Anosikeh; Managing Director, Chellaram Plc, Chief S.M. Chellarams; CEO, McNichols Plc, Chimaraoke Ekpe; CEO, Living Trust Mortgage, Adekunle Adewole; and CEO, The Initiates, Reuben Mustapha were given the honour to close the market.
Recall that the NSE Growth Board was launched on 29 January 2020 to encourage Start Ups, Small and Medium Enterprises and the companies in the Fintech industry with high growth potential to seize the opportunity of raising long-term capital and promote liquidity in the trading of their shares.