December 8, 2025
The Nigerian Exchange, NGX, has reclassified six listed companies, namely, UPDC Plc, The Initiates Plc, Learn Africa Plc, C & I Leasing Plc, SCOA Nigeria Plc, and Ellah Lakes Plc from the Low-Priced Stock Group to the Medium-Priced Stock Group.
The reclassification is in line with the NGX’s Pricing Methodology Framework and reflects the sustained progress and stability in the market prices of these securities over recent months.
Based strictly on market price performance NGX classifies quoted equities into High-Priced, Medium-Priced, and Low-Priced Stock Groups. Under this structure, a security must trade within a group’s price band for at least four out of the most recent six months to remain in, or be reassigned to, that category.
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After a detailed six-month review of trading activity and price trajectories, these six companies were found to have met the criteria for migration into the Medium-Priced tier signifying enhanced investor interest, firmer price levels, and more consistent trading patterns relative to their previous classifications.
A direct implication of this reclassification is the adjustment in tick size from N0.01 to N0.05, in accordance with Rule 15.29 of the NGX Rulebook (2015). This wider tick size aligns with the pricing standards for Medium-Priced stocks and influences the minimum price movement permissible during trading.
The adjustment may also have practical effects on trade execution dynamics, order book behavior, and liquidity patterns, particularly for retail traders and active market participants.
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Individually, the affected companies have, in varying degrees, shown improved visibility and market momentum, whether through strengthened fundamentals, renewed investor appetite, or broader sector-driven sentiment. Collectively, their upward reclassification underscores a gradually improving tone within segments of the equities market, especially among previously low-priced counters now showing healthier trading profiles.
NGX’s notification signals not only compliance with pricing rules but also reflects the evolving market conditions that continue to shape investor positioning.
For analysts and portfolio managers, this reclassification serves as a timely indicator of shifting valuation thresholds and emerging opportunities within the msledium-priced stock group.
