AS the Nigeria’s Securities and Exchange Commission’s recapitalization deadline for capital market operators expires, a total of 432 operators may have qualified to continue operation going by the updated list released by SEC on its website.
According to the list, 384 capital market operators have complied with the new minimum capital requirement while 36 others are in the process of reclassifying and reducing their functions and another 12 capital market operators are in the process of merging, as at September 29th 2015.
The commission had initially announced the new minimum capital requirements for operators in December 2013, fixing December 31, 2014 as the deadline for compliance. It, however, shifted it by nine months to September 30, 2015 in response to calls by operators for an extension.
Under the revised minimum capital base, the capital requirement for brokers/dealers was increased by 328.6 percent from N70m to N300m. while a Broker that currently operates with capital base of N40million will now be required to have N200 million, an increase of 400 per cent.
Likewise, the minimum capital requirement for the Dealer has increased by 233.33 per cent from N30 million to N100 million.
Issuing Houses that arrange for a company’s shares to be sold on a stock market are required to have minimum capital of N200 million, as against the current capital base of N150 million, an increase of about 33.33 percent. Also, capital requirement for underwriters was increased by 100 per cent from N100 million to N200 million.

READ ALSO  Queues return in FCT despite NNPC assurance of supply