In an exciting development, global markets are witnessing a surge in unicorns—companies valued at $1 billion or more—and Nigeria is no exception. Among the latest to join this prestigious group is Moniepoint, a leading Nigerian fintech, which recently attained unicorn status following a successful $110 million Series C funding round.
This brings the total number of unicorns in Africa to eight, with Moniepoint joining the ranks of high-profile tech giants like Interswitch, Opay, Flutterwave, Wave, Andela, Chipper, and MNT-Halan.
The rise of these multi-billion-dollar companies is not limited to the fintech sector. The Nigerian Stock Exchange (NGX) is also home to a growing number of companies whose market capitalisation exceeds the $1 billion mark, much to the delight of investors. These companies continue to generate significant profits, benefiting shareholders across the globe.
Nigeria’s Stock Market Landscape
As of November 2024, the NGX hosts 160 listed companies, but only a select few boast a market valuation of $1 billion or more. The total market capitalisation of the NGX stands at N58.91 trillion ($35.31 billion), with just nine firms responsible for over 70% of this amount.
Airtel Africa, Dangote Cement, and BUA Foods top the list, collectively holding nearly 40% of the exchange’s value, amounting to approximately N23.535 trillion ($14.046 billion).
Top Nine Companies on the NGX with a $1 Billion Valuation
- Airtel Africa
Leading the pack is Airtel Africa, which is the most capitalised company on the NGX, with a valuation of N8.26 trillion ($4.93 billion). The telecommunications giant commands 13.97% of the equity market, with a strong half-year report for 2024 showing $2.37 billion in revenue and $178 million in profit before tax. Despite a 9.7% drop in currency revenue due to devaluation in several African countries, Airtel Africa’s share price rose by 16.55% year-to-date (YTD). - Dangote Cement
In second place, Dangote Cement holds a 13.79% share of Nigeria’s equity market, valued at N8.15 trillion ($4.86 billion). With N2.56 trillion ($1.66 billion) in revenue and a pre-tax profit of N406.38 billion ($263.55 million), the company’s stock price has surged by nearly 50% YTD. - BUA Foods
BUA Foods, Nigeria’s leading consumer goods company, is the third most capitalised firm on the NGX, with a market valuation of N7.10 trillion ($4.24 billion). The company achieved a remarkable 98.54% increase in its share price YTD, supported by N1.07 trillion ($694 million) in revenue and a pre-tax profit of N217.65 billion ($141.15 million) for the first nine months of 2024. - MTN Nigeria
With a market capitalisation of N3.67 trillion ($2.19 billion), MTN Nigeria accounts for 6.21% of the market. However, the telecom giant has faced challenges, including a 33% decline in its stock price YTD due to the devaluation of the naira and a dip in subscriber numbers. Despite these difficulties, MTN raised funds through a successful oversubscription of its commercial papers. - Seplat Energy
Seplat Energy has experienced a dramatic surge in its stock price, rising by nearly 147% YTD to N5,700. Following its acquisition of ExxonMobil’s Nigerian assets, the energy company is valued at N3.35 trillion ($2.00 billion), and its strong financial performance, including a N366.71 billion ($237.82 million) pre-tax profit, is buoying investor confidence. - BUA Cement
Another major player in the cement industry, BUA Cement has seen its market value rise to N3.31 trillion ($1.97 billion). The company reported N583.40 billion ($378 million) in revenue, with a 98.54% increase in its share price YTD. - Geregu Power
Geregu Power, with a market capitalisation of N2.87 trillion ($1.71 billion), has seen its stock price surge by an impressive 188.22% YTD. The company, which has 4.86% of the equity market, recorded N112.58 billion ($73 million) in revenue and N36.26 billion ($23.51 million) in pre-tax profit for the first nine months of 2024. - Transcorp Power
Transcorp Power, listed in March 2024, has rapidly grown to a valuation of N2.69 trillion ($1.61 billion). Despite a relatively short period since its listing, the power company’s share price has grown by nearly 50% YTD, reflecting strong investor interest. - Aradel Holdings
Aradel Holdings, a newcomer to the NGX with a market capitalisation of N2.15 trillion ($1.28 billion), rounds off the list. The oil and gas company reported a 29.54% drop in its stock price YTD, yet continues to show solid performance with N377.58 billion ($244 million) in revenue.
Nigeria’s stock market is witnessing a significant transformation, with an increasing number of companies attaining unicorn status and attracting global investor interest. The emergence of these high-value firms is a clear indication of the country’s growing economic potential, even in the face of challenges such as currency devaluation and macroeconomic instability. With continued growth in both the fintech and traditional sectors, Nigeria remains an attractive destination for investors looking to capitalise on the emerging unicorns of Africa.
