We’re In Final Stages Of Initial Public Offering, Says NNPCL

The Nigerian National Petroleum Company Limited (NNPC Ltd) has announced that it is in the final stages of preparing for its listing on the capital market, in compliance with the provisions of the Petroleum Industry Act (PIA) 2021.

Olugbenga Oluwaniyi, the Chief Finance and Investor Relations Officer (CFIO) of NNPC Ltd, made this revelation during a consultative meeting with partners in Abuja on Thursday. He explained that the company is preparing to launch an Initial Public Offering (IPO) to allow private sector investment into the oil company before its shares are publicly traded.

An IPO is a process where a company offers shares of its stock to the public for the first time, with the shares being available for trading on a stock exchange. This is a significant step in the company’s bid to open up to the public and attract capital market investments.

Oluwaniyi stated that the NNPC Ltd is currently engaged in a process known as the “NNPC Ltd. IPO Beauty Parade,” aimed at selecting prospective partners who can offer support in preparing for the IPO. This exercise is in line with capital market regulations and will determine how potential partners could contribute to the company’s IPO readiness.

He mentioned that the areas of partnership NNPC Ltd seeks include investor relations, IPO readiness advisers, and investment bank partners. The company will select the best offers from potential partners in each of these categories to ensure a successful IPO.

The PIA 2021 mandates NNPC Ltd to list its shares on the capital market, in accordance with the provisions of the Companies and Allied Matters Act (CAMA) of 1990, marking a significant milestone in the company’s privatization and transformation process.