Independent energy company Seplat Energy PLC, listed on both the Nigerian Exchange Limited and the London Stock Exchange, has announced the foreign-exchange rate to be applied for its Q3 2025 interim dividend paid in Naira.
Seplat has fixed the conversion rate for Naira-paying shareholders at US$1 = N1,443.08, based on the Central Bank of Nigeria’s NFEM (Naira For Exporters & Manufacturers) rate as of 12 November 2025.
The announcement follows the company’s earlier notification (30 October 2025) setting out eligibility and default-currency definitions for shareholders.
The announcement was signed by the CFO, Eleanor Adaralegbe.
What It Means for Shareholders
For shareholders of Seplat who will receive the interim dividend in Naira, this fixed FX rate provides clarity and certainty on what their payout will be in local currency. Given the fluctuations in the Naira and pressures on foreign-exchange markets in Nigeria, fixing the conversion rate at ₦1,443.08 per US dollar offers a reference point for dividend-valuing.
That said, the rate also reflects broader currency risk. If the Naira weakens further relative to the dollar before the payment date, Naira-payout shareholders effectively absorb that risk. Conversely, if the Naira strengthens, the fixed rate could work in shareholders’ favour.
Strategic Context & Investor Takeaways
Seplat’s announcement underscores the impact of currency movements on dividend payments for Nigerian companies, especially those with international listings and dollar-linked earnings or obligations.
Seplat is exposed to global oil and gas price dynamics and the Naira-dollar exchange rate. While the company reports in US dollars and is listed in London, many Nigerian shareholders operate in Naira. This dual-currency exposure means that exchange-rate decisions like this directly affect shareholder returns.
For potential and existing investors, the fixed rate means that the timing of dividend payment can carry FX risk. If you are considering adding Seplat to your portfolio or holding it for income, weigh the Naira-FX risk alongside the company’s fundamentals.
From a corporate governance and transparency standpoint, the announcement is concise and clear — which supports good shareholder communications and is in line with best practice for dual-listed companies.
Why This Matters for Nigeria’s Energy Sector
Seplat’s move highlights several broader trends in Nigeria’s energy and capital-markets space:
Dividend transparency in FX-volatile environments: As companies navigate Naira-dollar fluctuations, setting clear FX benchmarks for payments is increasingly important.
Investor expectations: Shareholders are paying closer attention not just to the headline dividend amount but also to how currency conversion affects real value in Naira terms.
International listing implications: Energy companies like Seplat, with operations in Nigeria and listings abroad, must manage multiple financial-reporting regimes, FX exposures, and dividend-payment mechanisms. This is especially relevant as Nigeria seeks to deepen capital markets and attract foreign investors.
Macro linkages: The announcement ties into wider macro-economic issues — the Naira’s performance, central-bank policy on FX for exporters/manufacturers, and how energy-sector cash flows interface with Nigeria’s currency regime.
Looking Ahead
Investors should watch for the actual payment date of the Q3 2025 interim dividend, any further commentary from Seplat on FX risk management or dividend policy, and upcoming foreign-exchange policy updates from the Central Bank of Nigeria. These will feed into how the dividend converts into Naira and the real return to shareholders.
For market watchers and energy-sector analysts, Seplat’s approach could serve as a template: transparent FX-rate disclosure ahead of dividend payments in Nigeria’s currency-volatile environment.