The Nigeria Stock Exchange is experiencing an expectant mood that has investors rallying behind calls for more share floats, a reason for the current boom of Initial Public Offering (IPO) extensions, the latest of which being by the UACN Property Development Company (UPDC).
The stock market will be the only place for transactions on the stocks once the buying period, transiting between February 19 and March 28 of the year culminates, as the securities are of a close-ended character.
UPDC is offering some 3b units that will transact at 10 Naira, apiece, through the close-ended shareholding body going by the initials REIT.
Inside Nigeria Stock Exchange
The Nigeria Stock Exchange currently lists 198 firms that have an aggregate joint float of 8.9 Trillion Naira, figures that capture the market situation that ended the final day of 2012.
The stock exchange began in 1960, the year of the country’s emancipation from colonial rule but its operations were around the Lagos jurisdiction, the city that also lent its name to the securities body before it changed into the current appellation, 17 years later.
The securities category has 258 listings, a far cry from the 19 that first appeared upon its founding, which is an aggregation of Nigeria-based, West African, continental and worldwide investments, courtesy of the fair trade practices fueled by the automated system of, especially, the exchange bourse.
Observers call the Exchange one of the leading in the continent while the body itself professes an objective of turning into a portal into the rest of the markets of the continent.
Beginning 1999, the Nigeria Stock Exchange upgraded into an automated system for futures, which has since allowed trade to happen on the go, but under specific hours of between 9.30 in the morning and 2.30 in the afternoon.
Before the government changed the situation through amending a gagging bill, the stock exchange could not allow foreign investors to inject capital externally, but since then there has been a horde of international agents dealing on the bourse and thus helping earn the country foreign reserves.