Details have emerged on why the Nigerian Exchange (NGX) suspended trading in the shares of Zichis Agro-Allied Industries Plc, barely a month after it was listed on the exchange.
In a notice to traders and the investing public rcently, the exchange said the suspension would take effect from February 23 and remain in place until investigations into the firm’s trading activities are concluded.
The NGX said it invoked provisions of its rulebook that allow it to suspend trading in any listed security when such action is deemed necessary in the interest of the investing public and in line with the rules of the Securities and Exchange Commission Nigeria (SEC).
Zichis Agro-Allied Industries Plc , an agribusiness company based in Ogun State, was admitted to the exchange on January 20 after listing 600 million shares by way of introduction at N1.81 per unit.
By the close of trading last Friday, the company’s shares had risen to N17.36 on the Nigerian Exchange, representing an 859.1 percent increase in value in less than five weeks.
The sharp rise pushed the company’s market capitalisation to about N10.4 billion, compared to slightly above N1 billion at the time of listing.
The surge makes Zichis the best-performing stock on the exchange so far in 2026.
The company is listed on the growth board of the NGX — a segment designed for small-cap and high-growth companies, including technology and emerging businesses.
Its operations include oil palm production, fish farming, poultry, animal feed manufacturing, and crop cultivation.
Commenting on the development, Olufemi Shobanjo, Chief Executive Officer of NGX Regulation Limited, said the exchange remains committed to protecting investors and maintaining market integrity.
“Our primary responsibility is to maintain a level playing field where market participants can trade with confidence, backed by timely and accurate information,” he said.
“This advisory is a routine communication, reinforcing that sound fundamentals, not speculation, remain the foundation for sustainable investment outcomes. We are fully committed to preserving the integrity and stability of our market,” he added.
The move by Nigerian stock market authorities comes amid concerns that several stocks on the exchange have recently recorded sharp price increases without clear underlying fundamentals.
Market watchers say dramatic gains in companies that have reported losses for years — yet continue to attract strong investor demand — have heightened calls for regulators to intensify scrutiny of trading activities on the exchange.
