The Nigerian National Petroleum Company Limited (NNPCL) has announced that it is in the final stages of preparing for its long-awaited listing on the capital market, as mandated by the Petroleum Industry Act 2021.
The announcement was made in a statement released on Thursday in Abuja by the NNPCL’s Chief Corporate Communications Officer, Olufemi Soneye.
Mr. Soneye said that the company’s Chief Finance and Investor Relations Officer, Olugbenga Oluwaniyi, provided details of the progress during a consultative meeting with partners at the NNPCL headquarters.
He stated that NNPCL is currently engaging with potential partners in an exercise called the “NNPC Ltd. IPO Beauty Parade,” which is in line with capital market regulations before the commencement of the Initial Public Offer (IPO).
“According to the CFIO, the aim of the IPO Beauty Parade is to access potential partners and determine in what ways they could be of support to the company,” the statement explained.
The areas of partnership being sought include Investor Relations, IPO Readiness Advisors, and Investment Bank Partners. The company said that the organisation with the best offer in terms of project partnership for each of the three categories would be selected.
An IPO is a process where a company sells its shares to institutional investors for the first time, making it a publicly traded entity.
The Petroleum Industry Act (PIA) 2021 stipulates that NNPCL should list its shares on the capital market, in accordance with the provisions of the Company and Allied Matters Act 1990.
This move is expected to bring greater transparency and accountability to the operations of Nigeria’s national oil company and could potentially attract significant investment into the country’s energy sector.
Add Comment