Business

Med-View Airlines berths at Stock Exchange

Med-View Airlines berths at Stock Exchange

Med-View Airlines Plc on Tuesday listed its shares on the Nigerian Stock Exchange (NSE), returning the airlines to the stock market after two previous quoted airlines-Al Barka Air and Aviation Development Company (ADC) were delisted for poor performance.

But Med-View Airlines said its listing would lead to growth, projecting profit of N4.3 billion and turnover of N31 billion in 2017.

A total of 9.75 billion ordinary shares of 50 kobo each of Med-View Airlines were listed at N1.50 kobo per share, giving the airlines a start-off market capitalisation of N14.63 billion.

At the listing ceremony in Lagos, chief executive officer of Med-View Airlines, Alhaji Muneer Bankole said the company has been able to operate successfully for 10 years while growing its turnover and profit consistently.

He said the company decided to list on the Exchange to enhance its corporate value and brand image adding that listing will provide the company with a better access to long term capital from wide range of local and the international investors.

According to him, with the listing, the company will have better clout and rating when obtaining loans from financial institutions while listing would also boost the international image and profile of the company and improve its corporate governance and accountability.

Minister of State for Aviation, Hadi Sirika, who witnessed the listing, said there was huge potential and opportunity within the sector of Aviation.

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“It is very important for the sector to experience growth and development and also make our economy much more robust. We can achieve a lot through tourism as a nation; Kenya for example is living on tourism with 60 million people, one third of Nigeria population,” Sirika said.

Chief executive officer , NSE, Mr. Oscar Onyema said the listing of Med-View has further reaffirms the Exchange’s belief that in spite of several policy and economic challenges facing the nation, the stock market platform remains one of the best avenues for raising capital and enabling sustainable growth for national development.

He noted that despite the challenging operating environment in the aviation industry globally, the air transport industry continues to contribute about $10 billion to Gross Domestic Product (GDP) of African countries, and its projected that close to six million jobs would be supported by Africa’s air transport sector over the next 20 years.

 

 

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