Legend Internet Plc was officially listed on the Nigerian Exchange (NGX) on April 24, 2025. The company, which specializes in fiber-to-the-home broadband services and integrated digital solutions, entered the market with a Listing by Introduction (LBI) of 2 billion ordinary shares at ₦5.64 per share, instantly boosting the NGX’s market capitalization by ₦11.28 billion. This listing marked a pivotal moment for both Legend and the wider Nigerian capital market, which has long sought deeper tech participation.
A Historic Debut in a Capital Market Hungry for Tech Listings
Legend Internet’s entry into the stock exchange was met with enthusiastic investor interest. On its debut day, shares rose from the listing price of ₦5.64 to ₦6.20, reflecting strong market confidence and investor appetite for innovation-driven telecom firms. This positive market reception was no accident—it was fueled by Legend’s positioning as a digitally forward, infrastructure-heavy company promising to change how broadband internet is delivered and consumed across Nigeria.
Just two weeks after its listing, Legend Internet had already surpassed the NGX’s 20% free-float requirement, expanding its shareholder base to over 100 investors. It quickly earned a spot on the NGX Top 10 Gainers list, signaling a promising start for a firm that had only recently emerged on the public stage.
Business Model: More Than Just an Internet Provider
Legend Internet Plc is far from a traditional internet service provider (ISP). While its core service revolves around fiber-to-the-home (FTTH) broadband infrastructure delivering high-speed internet to households and businesses across Nigeria it also operates a growing portfolio of digital solutions, including:
- LegendMail: A proprietary email platform integrating financial tools.
- Legend Pay: A fintech payment gateway embedded in its app ecosystem.
- MyLegend App: A bundled mobile application through which customers can manage subscriptions, access content, and carry out transactions.
Through these integrated services, Legend is aiming to evolve from a telecoms company into a full-fledged digital services platform, providing internet, communication tools, financial technology, and content delivery all under one brand.
Financial Performance: A Story of Mixed Results
2024 Financial Year (Ended July 31)
In the year leading up to its IPO, Legend reported a 5.8% decline in revenue to ₦1.14 billion, marking its second consecutive annual revenue contraction. While concerning at first glance, the company’s cost-cutting initiatives led to a 21% reduction in cost of sales, improving gross profit by 8.6% to ₦677 million.
Operating profit rose by a modest 2.4% to ₦310 million, and profit before tax reached ₦285 million. However, the company faced a steep increase in tax expenses, causing net profit to plunge by 51.6% to ₦119 million. This raised concerns among analysts about Legend’s tax strategy and earnings sustainability.
Q1 2025 Results (Ending April 30)
Following the IPO, Legend’s first quarter report in June 2025 showed slight progress. Revenue rose 2.2% to ₦319.9 million, while pre-tax profit came in at ₦52.2 million. Cumulatively, its nine-month PBT rose by nearly 47% year-on-year to ₦275.7 million.
However, the profit after tax was again underwhelming, with Legend recording only ₦32.9 million, a 54% drop year-on-year. Much like in 2024, the decline was attributed to higher income tax obligations and rising administrative costs linked to technology upgrades and workforce expansion.
These mixed results have generated cautious optimism. Investors recognize the company’s revenue stabilization and expansion potential, but remain wary of its razor-thin margins and declining net income.
Product Innovation: Launch of FTTR by Legend
In an ambitious and widely celebrated move, Legend Internet Plc unveiled “FTTR by Legend” (Fiber-to-the-Room) in early May 2025. This was Nigeria’s first true in-room fiber deployment solution, developed in partnership with global tech giant Huawei. Unlike traditional FTTH models that only deliver fiber to the main household router, FTTR ensures that every room in a home or business premises receives direct fiber connectivity.
The impact was immediate. Legend’s share price surged over 32% in a single week, climbing from around ₦6 to over ₦7.09 by June 13, 2025. This development was seen as a turning point in Legend’s public perception—from being just another ISP to a serious contender in Nigeria’s tech ecosystem.
Competitive Edge and Strategic Positioning
Legend’s strength lies in its bundled innovation strategy. By coupling ultra-fast broadband with fintech tools and content delivery, it is positioning itself to capture a larger share of Nigeria’s growing digital economy. The company is also riding on increased demand for remote work tools, streaming platforms, and digital banking sectors that require the type of seamless, high-speed connectivity Legend is striving to offer.
Moreover, its lean operating model and early partnership with Huawei give it a cost-effective edge in technology deployment.
Challenges and Risks
Despite its innovation and market enthusiasm, Legend faces several risks:
- Revenue Contraction: Its two-year decline in topline growth raises concerns about market penetration and customer retention.
- Tax Pressure: The consistent hit from high tax payments suggests a need for more efficient tax planning.
- Profitability Concerns: A strong gross profit doesn’t always translate into strong net profit. Operating costs and expansion-related expenses are eating into bottom-line returns.
- Valuation Volatility: The stock’s quick post-IPO surge followed by stagnation shows it remains vulnerable to sentiment swings, especially without a sustained earnings breakthrough.
Market Outlook and Investor Sentiment
As of July 2025, Legend Internet Plc remains one of the most closely watched tech stocks on the NGX. Its pioneering FTTR technology, expanding user base, and bundling strategy have created bullish sentiment. However, its inconsistent earnings pattern and tax burden have tempered long-term investor confidence.
Moving forward, the company’s ability to scale FTTR nationally, launch new monetizable digital services, and optimize costs will determine whether it remains a speculative tech darling or evolves into a truly dominant broadband and digital platform provider in Nigeria.
Legend Internet Plc has undeniably made waves in its short time as a publicly listed company. From its April 2025 IPO to the launch of Nigeria’s first room-level fiber service, the company has proven it has bold ideas and a clear vision for the digital future.
