ABSTRACT

This study evaluated the effects of delisting on the performance of the Nigerian Stock Exchange (NSE). The study determined the effect of delisting on market capitalization, All Share Index and Stock Traded. Three research questions were raised and three hypothesis where formulated to guide the study. Samples of delisted firms in Nigeria between 1998 and 2016 were employed for the study it was entirely focused on Nigerian Stock Exchange. The study adopted a longitudinal research design. The study uses secondary source of data collection and the instrument used for the collection of the data was through documentation. The secondary data was collected using a data capture sheet, extracted from the annual reports of the Nigerian Stock Exchange, for the period of 19 years ranging from 1998-2016. The data collected was analyzed using multiple regressions done using SPSS 20 software. All hypotheses were tested at .05 level of significance. Results from the data analyzed revealed that there was no significant effect of delisting on market capitalization, all share index and stock traded. Based on the findings of this study, the following recommendations were made: Listed firms should be supported and given certain financial waivers so as to encourage them to be effective in the market and this would remove the constraints to growth in the Nigerian capital market and especially the stock market; The problems of taxation should be treated in such a way so as not to affect the financial earning and profits of the listed firms in the Nigerian Stock Exchange among others.