Stock market demutualisation not feasible in 2012

Following the present state of health of the stock market which is still going through a period of recovery, strong indication emerged last Friday that the final process of demutualisation of the market is no longer feasible in 2012.Further findings revealed that, the move to put the whole process of making the market a profit-oriented one in abeyance at least for now, was said to be hinged on the need to allow trading in equities stable and more attractive to investors.Nigerian Tribune findings also showed that, the issue may not even be tabled at the NSE's forthcoming Annual General Meet-ing.Demutualising the NSE was meant to reposition it so as to ensure an efficient and competitive capital market.According to the report of the technical committee set up by the NSE on the issue of demutualisation, the exercise was expected to have begun in the second quarter of 2012.The committee beli-eved demutualisation could set an exchange well on the path to rapid and sustained development in the context of increased globalisation of securities markets.They warned that in order to ensure transparency and engender confidence, the demutualisation of the NSE must be achieved within the framework prescribed by the commission.Commenting on whether it is still possible for the market to demutualise in the year, the Managing Director/Chief Executive Officer of Lambet Trust & Investment Company limited, Mr David Imafidon Adonri, said the demutualisation of The NSE was a complicated matter.He noted that 'Members of the Exchange must first resolve to demutualise and dictate the pattern of the exercise. The matter is yet to be tabled for discussion and resolution at an AGM or EGM', he added.
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