MTN Leads NGX Premium Index With Strong Governance

In a year defined by market volatility and tightening investor sentiment, MTN Nigeria Communications Plc has emerged as the best-performing stock on the NGX Premium Index, reaffirming investor confidence in companies that uphold high standards of corporate governance, transparency, and liquidity.

The NGX Premium Index, which tracks large-cap firms that meet strict governance and market-depth criteria, has gained 53.86% year-to-date as of October 17, 2025 – outperforming both the All-Share Index (+44.74%) and the NGX 30 (+42.69%).

This outperformance signals a clear message to the market: corporate governance isn’t just good ethics – it’s good economics.

The index, which features some of Nigeria’s most reputable firms, only admits companies with a minimum market capitalization of N200 billion, a free float of at least N40 billion, and a 70% score on the NGX Corporate Governance Rating System (CGRS). These conditions ensure that firms are not only financially sound but also accountable and transparent – traits investors increasingly prize in an era of regulatory reforms and ESG awareness.

Since 2020, the Premium Index has consistently closed in positive territory, and with its 2025 gains, it remains on track for yet another solid year – albeit below its record 64.01% growth in 2020.

Among the standout performers, MTN Nigeria led the pack, riding on strong operational performance and investor trust. Other large-cap players such as Dangote Cement, BUA Cement, and Airtel Africa also contributed significantly to the index’s robust showing.

Notably, Seplat Energy Plc, the only oil and gas company in the index, ranked eighth with a 3.81% year-to-date gain – a modest but resilient performance considering sectoral headwinds. Despite muted trading earlier in the year, Seplat’s stock rebounded in June and showed renewed strength in October, as improving sentiment lifted oil and gas equities.

Seplat’s unaudited Q2 2025 results reflected a pre-tax profit of N139.4 billion, only slightly down by 0.76% year-on-year, while its half-year pre-tax profit jumped 86% to N454.1 billion, buoyed by higher revenues and disciplined cost management.

 Why This Matters

For StakeBridge IRPR Consulting Limited, this development highlights the growing importance of investor relations (IR) and public communication as value drivers. The performance of Premium Board companies reinforces that when firms align strong governance with transparent communication, they not only attract investors but sustain market confidence even in uncertain times.

As the Nigerian Exchange continues to deepen market reforms, the success of governance-compliant firms like MTN Nigeria and Seplat Energy demonstrates that trust and transparency are becoming as critical as profitability.

In an investment climate where perception shapes valuation, effective communication and investor engagement – areas at the core of StakeBridge IRPR’s expertise – remain indispensable tools for companies seeking to stand out on the trading floor and beyond.