NGX Group, Others Acquire 75% Stake in Ethiopian Securities Exchange
Nigerian Exchange Group Plc (NGX Group), and other investors have acquired a 75 per cent stake in the Ethiopian Securities Exchange (ESX).
NGX Group is among the top institutional investors that have injected capital into the operationalisation of the bourse alongside FSD Africa, a UK-backed non-profit financial institution, and Trade and Development Bank Group (TDB), the financial arm of the Common Market for Eastern and Southern Africa (COMESA) trade block.
This pivotal move not only marks NGX Group’s entry into East Africa but also underscores its commitment to driving growth and innovation in the African capital markets, while strategically positioning itself as the largest foreign institutional investor in the ESX.
The investment in the Ethiopian Stock Exchange reflects NGX Group’s confidence in the potential of Ethiopia’s rapidly growing economy and capital market. By partnering with ESX, NGX Group aims to support the development of a vibrant and resilient financial ecosystem in Ethiopia, fostering increased investor participation and capital formation.
Through this investment, NGX Group aims to contribute to robust regulatory frameworks and foster best practices within the ESX ecosystem. The Group remains dedicated to providing ongoing technical assistance and capability enhancements to support the successful operations and growth of the ESX.
Chairman of NGX Group, Alhaji Umaru Kwairanga in a statement stated, “We extend our congratulations to the ESX on its successful capital raise and commend the Government of Ethiopia and the private sector for their support in bringing this pioneering initiative in the country to fruition.
“Our partnership with ESX is a resounding affirmation of our unwavering dedication to promoting economic development, transparency, and exemplary corporate governance standards that foster an environment conducive to inclusive growth, even as we aim to maximize value for our esteemed shareholders.”
Group Managing Director/ CEO of NGX Group, Temi Popoola commented: “We are excited to announce our investment in the Ethiopian Stock Exchange, which represents a significant milestone in our expansion strategy.