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Efforts by The Nigerian Stock Exchange (NSE or The Exchange) to encourage Government at all levels to privatize and list the shares of state-owned enterprises on its market has received a boost with the listing of 1,353,580,000 ordinary shares of Skyway Aviation Handling Company Plc (SAHCOL Plc). Priced at N4.65, the shares were listed by way of an Initial Public Offering (IPO) on the Main Board today, Tuesday, April 23, 2019.
SAHCOL Plc is the first company under the Bureau of Public Enterprises (BPE) privatization programme to successfully finalize an Initial Public Offering and list its shares on a securities exchange. The company is a full-scale aviation ground handling service provider with a focus on aircraft/ramp handling, cargo handling, passenger handling, premium lounge, aviation security and baggage reconciliation. The firm enjoys the patronage of a clientele that spans international and local commercial airlines, as well as other air cargo companies.
The listing of the company’s shares has added N6.29bn to the market capitalization of The Exchange, further deepening the Nigerian capital market. It has also increased the visibility of SAHCO Plc whilst solidifying its brand as a major player in the Aviation sector.
In her welcome remarks, the Executive Director, Regulation, NSE, Ms Tinuade Awe, commended SAHCO Plc for taking the bold step to list on the Exchange. “We are particularly pleased that SAHCO Plc has taken this strategic step to join the Main Board of the Exchange and in so doing, the prestigious club of quoted companies in Nigeria. This step indicates the firm’s belief that our platform remains a veritable avenue for raising capital and enabling sustainable national growth. I commend SAHCO Plc for this bold and strategic step which will not only showcase the company as an established player in the Aviation sector but will enable the firm to actualize its strategic vision of becoming the leading provider of passenger, Ramp and Cargo Handling Services in the West African Sub Region”.
Ms Awe, also stated that The Exchange encourages other privatized state-owned enterprises to explore the different opportunities in the capital markets for raising long term capital.
SAHCO was incorporated as a private limited liability company under the name Skyway Aviation Handling Company Limited on 22nd April 2009. The Company is a member of the Sifax Group. In 2009, the Sifax Group, through SAHCO, acquired the Federal Government’s 100% equity stake in Skypower, an aviation ground handling services entity, under the privatization programme of the Nigerian Government. Following the acquisition, Skypower became a wholly owned subsidiary of SAHCO, with its operations taken on by the Company.