Shareholders Examine NASD Ahead Of AGM

As NASD PLC prepares for its 11th Annual General Meeting (AGM), the exchange is under heightened scrutiny from its shareholders, particularly the investment company VFD Group.

Known for its active participation in the Nigerian capital market, VFD Group has raised significant concerns about NASD’s governance structure and financial standing.

In recent years, NASD has struggled to achieve profitability, reporting consecutive losses of N79 million in 2022 and N69 million in 2023. However, VFD Group’s concerns extend beyond the financial losses. They have also questioned NASD’s heavy reliance on delisting fees as a core revenue stream. This issue was highlighted last year when a large portion of NASD’s earnings stemmed from VFD’s own delisting. Indications suggest that another major delisting could occur this year, further fuelling worries.

The crux of VFD Group’s argument is that NASD should pivot away from profiting off companies exiting the market and focus instead on attracting new listings and expanding its platform. As the AGM approaches, shareholders are eager to hear how NASD’s management intends to tackle these challenges and whether they can outline a clear strategy for the exchange’s future.

This AGM is expected to be a key moment for NASD, where key issues such as the re-election of directors will be addressed. Shareholders and market watchers alike are keen to see how NASD navigates its path forward amid a turbulent financial period and growing calls for change.