Billionaires - Business - 1 hour ago

Tony Elumelu’s United Capital Acquires 5% Stake in NGX Group, Strengthening Nigeria’s Capital Markets

United Capital, the investment banking group led by billionaire Tony Elumelu, has purchased a 5% stake in Nigerian Exchange Group (NGX). The acquisition positions United Capital as a significant shareholder and links the firm’s success directly to Nigeria’s capital markets.

The acquisition signals a shift from merely participating in the market to owning a part of the infrastructure that powers trading, listings, and investment in Nigeria.

From Market Player to Investor

United Capital has long operated in Nigeria as an investment bank, stockbroker, asset manager, and trustee. Until now, it had no ownership in the exchange itself.

By buying into NGX, the group will now benefit from:

Listing fees
Trading volumes
Overall growth of Nigeria’s capital markets

Peter Ashade, United Capital’s CEO, said:
“We are not just participants in Nigeria’s capital markets, we are builders. This investment in NGX is part of building for impact.”

Why NGX Is Valuable

NGX Group manages the Nigerian Exchange Limited, one of Africa’s largest stock exchanges. The exchange allows businesses to raise capital, investors to trade, and governments to access long-term financing.

Since its demutualisation in 2021, NGX has:

Modernised its trading systems
Attracted more listings
Encouraged retail investor participation

These changes have made Nigeria’s capital markets more important, especially as access to foreign capital tightens. United Capital’s stake shows confidence in NGX’s future.

United Capital’s Broader Strategy

The NGX investment complements United Capital’s expansion across Africa. The group has recently:

Recapitalised its four regulated subsidiaries
Expanded into Ethiopia and Rwanda
Established operations in 12 African countries

Owning a stake in NGX adds structural influence to their strategy, alongside geographic growth.

What the Stake Means for Nigeria’s Markets

A 5% stake doesn’t give control but gives United Capital a reason to:

Support new listings
Improve market liquidity
Advocate for market reforms

Analysts view the acquisition as a credible domestic vote of confidence in NGX at a time when foreign participation and new listings are challenging. United Capital’s investment aligns its institutional interests with the long-term growth of Nigeria’s capital markets.