By Amechi Ogbonna
The Nigerian Stock Exchange (NSE) yesterday, announced the emergence of Mr. Abimbola Ogunbanjo, as the new President of National Council of the Exchange.
The exchange, in a statement, said that the election of Mr. Ogunbanjo took place at the council’s meeting after its 56th Annual General Meeting in Lagos.
Mr. Ogunbanjo would replace Aigboje Aig-Imoukhuede, who bowed out after completing his three-year tenure as president of the exchange.
It added that Aig-Imoukhuede would continue to serve on the National Council as an ex-officio member, pursuant to its Article of Association.
The new resident, who joined the NSE council in 2011, had been its First Vice President since 2014.
He is also the Chairperson of the demutualisation Advisory Committee of the NSE and currently serves as the Managing Partner of the renowned corporate law firm of Chris Ogunbanjo & Co (Solicitors).
Meanwhile, Aig-Imoukhuede who officially announced his retirement at the meeting commended the dealing members of the exchange for supporting its demutualisation efforts.
Demutualisation of an exchange occurs when a mutual company owned by its users/members converts into a company owned by shareholders as the users/members exchange their rights of use for shares in the demutualised company.
He assured members that the NSE Council and its management would remain committed to the demutualisation project.
Aig-Imoukhede also noted that despite the economic headwinds in 2016, the group level of the NSE remained profitable with an operating surplus of N27.45 million.
He added that the exchange generated about N4.46 billion in revenue, down 31 per cent from the previous year, reflecting bearish sentiments that characterised the market in 2016.
“The council’s greatest focus of transforming the exchange to a publicly quoted company has been done and only 20 per cent is yet to be accomplished. Against all odds, completion of the demutualisation process of the NSE will take only about 12 months. In 2016, we executed our strategy and maintained a stable financial position by controlling costs and maintaining a low debt profile,” Aig-Imoukhuede said.
Earlier, the Chief Executive Officer of NSE, Oscar Onyema, said the Exchange demonstrated resilience throughout the economic and market downturn as investors reacted to prolonged macro-economic uncertainty.
Onyema said the exchange’s total asset base during the period stood at N22.79 billion with approximately N9.73 billion, representing 43 per cent, held in liquid asset and an accumulated fund of N19.31 billion.
He added that the NSE closed the year in a sound liquidity position and strong balance sheet.
“The exchange has delivered strong and broad-based results, which strengthen our foundation for long-term prosperity, and will drive growth in the near-term. We will continue to adapt to stakeholder needs in the evolving business climate.
“We will continue to develop innovative and diverse products that perform well in different market conditions, while maintaining a regulatory framework that engenders confident investors,” Onyema said.
Meanwhile, Aliko Dangote, Ex-Official, and Ballama Manu, Interim Head of Council, were among the outgoing NSE council members.
Abimbola Ogunbanjo, who was re-elected at the meeting as a member of the National Council, would likely emerge as the next NSE President going by exchange’s tradition.