The Nigerian based payment firm for banks and owner of a brand of debit cards, Interswitch Ltd., has invited on board, the global financial companies, J.P. Morgan, Citigroup Inc., and Standard Bank Group, as advisers, as it resurrects plans for stock-market listings in first, London, and Lagos, Nigeria, later in the year, it was disclosed.
According to Bloomberg, this disclosure was done by people familiar with the matter, although the companies involved refused to speak on the matter, showing that the deliberations are still private.
This Initial Public Offering (IPO) which is expected to raise the value of the payment firm to about $1.3 billion to $1.5 billion is coming about three years after the company withdrew its plan to get on stock-market listings due to the fall in the price of crude oil which drastically affected Nigeria’s economy and the value of the naira.
Nigeria’s falling economy discouraged the payment firm’s IPO plan, about three years ago, and also, in recent times, Nigeria has seen companies fold up, merge or leave the country for more lucrative markets and economy, but this offering might mean that there is some ray of light shining on the economy.
As moves are made to attract or retain foreign investors, such news which insinuates a plan to expand, might mean that these financial bodies view possibilities which are not immediately obvious.
Apparently, the African, and indeed the Nigerian economy, is showing mixed signs of growth and struggles, which produce different reactions from different companies.
TechEconomy.ng would observe and share news on the IPO, of the electronic payment and digital company, as they unfold.