NGX woos Hong Kong investors, pushes Chinese firms for dual listings

The Nigerian Exchange Group (NGX Group) is actively seeking Hong Kong investors and persuading Chinese firms with significant Nigerian operations to explore dual listings on the Nigerian Exchange. This strategy was discussed during recent meetings led by NGX Chairman Umaru Kwairanga with key financial market institutions in Hong Kong, including InvestHK, Bank of China International (BOCI) and Hong Kong Exchanges and Clearing (HKEX).

The exchanges aimed to strengthen capital market linkages between Nigeria and Hong Kong, improve access to Asian capital for Nigerian companies, and enable Chinese companies operating in Nigeria to raise local funds.

During the discussions, Kwairanga provided an overview of recent developments in Nigeria's capital market over the past three years, discussing its growth prospects for the medium and long term. The NGX delegation also explored how Hong Kong financial institutions could assist Nigerian companies sourcing equipment and products from Hong Kong and mainland China, especially in foreign exchange, financing, and leverage areas.

They suggested Hong Kong firms consider establishing representative offices in Lagos to promote stronger trade and financial flows between the two nations.

The NGX delegation proposed the establishment of a formal Nigeria-Hong Kong capital corridor to foster sustained cooperation between market institutions and businesses in both regions. This collaboration would also grant Asian investors enhanced access to Nigerian businesses and Africa's growth opportunities. Additionally, NGX proposed a joint listing readiness program in collaboration with InvestHK, BOCI, and the NGX Group to inform Nigerian companies about international listing requirements such as corporate governance, disclosure standards, investor relations, and listing processes.