Effect of Governance Information Disclosure on Market Value of Listed Information and Communication Technology Companies in Nigeria
Author
Hassan, Grace Jummai; Ame, Jacob O.; Musa, Hassan
Abstract
This study examined the effect of Governance Information Disclosure on the Market Value of listed Information and Communication Technology (ICT) companies in Nigeria over the period 2015 to 2025. The specific objective of the study was to determine how governance information disclosure proxied by board independence, board composition, audit committee effectiveness, and regulatory compliance affects the market value proxied by Tobin’s Q of listed ICT companies in Nigeria. The study adopted an ex-post facto research design, utilizing secondary data extracted from the annual reports of the nine (9) ICT companies listed on the Nigerian Exchange Group (NGX). This study is anchored on stakeholder theory. Governance disclosure was measured through content analysis, using a disclosure index constructed based on the presence or absence of specified governance disclosure items. Panel data were analyzed using the Random Effects regression model. The findings revealed that governance information disclosure has a positive and statistically significant effect on the market value of listed ICT companies in Nigeria. The study concluded that governance disclosure is value-relevant in the Nigerian ICT sector and serves as a strategic mechanism for enhancing corporate reputation and market-based performance. Based on these findings, the study recommended that listed ICT companies should strengthen governance disclosure practices, particularly in areas relating to board independence, audit quality, and regulatory compliance. Furthermore, regulatory authorities should reinforce reporting frameworks to promote standardized governance disclosures capable of enhancing transparency, investor trust, and capital market efficiency in Nigeria.
Keywords
Governance Information Disclosure and Market Value
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References
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