Nigeria’s stock market has taken a hit this year. Eight companies have exited the Nigerian Exchange (NGX) so far in 2025, wiping ₦330.7 billion ($224 million) from its market capitalisation. While this is only around 0.35% of the exchange’s total market, the delistings highlight deeper structural challenges for tech startups weighing a listing: failure to meet post-listing requirements and high regulatory costs.
Companies removed from the bourse included Notore Chemical Industries, MRS Oil, Med-View Airline, Smart Products Nigeria, and others. Notore alone accounted for ₦252 billion ($172 million) of the lost value.
The trend isn’t new. Since 2021, over 30 companies have exited the NGX, erasing more than ₦660 billion ($450 million) in market value. Six firms delisted in 2024, including GlaxoSmithKline, and Union Bank’s 2023 exit alone cut ₦193 billion ($132,000). The cumulative losses show a persistent erosion of market depth, even as new listings remain scarce.
Between the lines: While some of the 2025 exits so far were voluntary, others were forced by the NGX. Smaller companies such as Tourist Company of Nigeria and Union Homes also left the market, showing that regulatory and operational demands are unforgiving. Staying listed is not simple, even for established firms, and liquidity can be lost quickly if obligations are not met.
Tech startups may see the delistings as a signal for shrinking liquidity. Firms like Flutterwave, the Nigerian fintech unicorn, which the Exchange is courting to list, face a market that is strict, costly, and unforgiving. Listing carries risks beyond raising funds; companies must maintain credibility, governance, and operational stability to survive.
With liquidity shrinking at this rate, listing on the NGX is as much about survival as it is about growth.
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