As parts of plans to boost its operation, Medview air, one of Nigeria’s flag carriers, was on Tuesday listed on the Nigeria Stock Exchange, NSE.
The event, which held at the 9th and 20th Floor Event Centre, Stock Exchange House, Lagos, saw the airline listed on the main board of the NSE.
In his address, Oscar Onyema, the Chief executive officer of the NSE, said the listing further reaffirms the NSE’s belief that in spite of several policy and economic challenges facing the nation, the exchange remains one of the best avenues for raising capital and enabling sustainable growth for national development.
“Despite the challenging operating environment in the aviation industry globally, the air transport industry continues to contribute about $10 billion to Gross Domestic Product (GDP) of African
countries, and it is projected that close to six million jobs would be supported by Africa’s air transport sector over the next 20 years,” he said.
“Despite negative growth in passenger volumes, the decline in number of operators continues to put positive pressure on the successful industry players – such as Med-View Airline – to seek sustainable
funding options to support growth and meet passenger demand.”
Mr. Onyema disclosed that Med-View Airline Plc is one of Nigeria’s foremost airlines, airlifting more than 3m passengers and 46m tons of cargo (annually) to 14 local, regional and international destinations, including London, Accra, Jeddah, Abuja, and Lagos amongst others.
“When the MD/CEO approached us with his financial advisers for approval to list on the Exchange, we went through a rigorous process to determine that Med-View Airline meets the listing standards of the NSE,” he said.
“With this listing, the Company is showing its commitment to a culture of strong corporate governance, excellence, professionalism and efficient services to its passengers, as well as providing increased returns to its shareholders.”
He however disclosed that Tuesday’s listing by Introduction of 9.75 billion (9,750,649,400) ordinary shares of Med-View Airline on the Main Board of The Nigerian Stock Exchange at a Listing Price of N1.50 Per Share is a culmination of several months of hard work by all parties to the transaction, including the Securities and Exchange Commission.
“This listing has added N14.65 billion (N14, 625,974,100) to the market capitalisation of The Exchange, further deepening the Nigerian Capital Market. It will also increase the visibility of Med-View Airline Plc and differentiate it as a professionally run airline with high corporate governance standards, having met The NSE’s listing criteria,” he added.
The NSE boss however called on other participants in the aviation industry value chain to look seriously at leveraging the opportunities that abound in the Nigerian capital market.
He also urged the Minister of Aviation to work towards creating an enabling environment for the revival of the aviation industry in Nigeria.