ABSTRACT

This study investigated corporate sustainability and enterprise value creation in the Nigerian stock market. The study compared the enterprise value and corporate sustainability factors (CSFs) across the sectors in the Nigerian Stock Market. The study also evaluated the impact of corporate sustainability factors (CSFs) on firms’ enterprise value in Nigeria. The data were sourced from various corporate publications such as annual reports and independent reports (like sustainability reports) of the selected firms. The study used content analysis to extract data for the study. Descriptive statistics, and inferential statistics - One-way ANOVA and panel regression analysis were used to estimate the models and test hypotheses of the study. The Hausman test was also conducted to determine the most appropriate model between fixed effect and random effect. The result indicated significant differences in the enterprise value and corporate sustainability factors (CSFs) across the Nigerian Stock Exchange Market sectors. Likewise, corporate environmental disclosures had a significant impact on firms’ enterprise value in Nigeria. Similarly, corporate social responsibility had a significant impact on firms’ enterprise value in Nigeria. The study also revealed that corporate governance mechanisms have significant impact on firms’ enterprise value in Nigeria. The study also revealed that the corporate sustainability factors had a significant impact on firms’ enterprise value creation in Nigeria. Conclusively, this study revealed that corporate sustainability factors have significant influence on enterprise value of companies listed on the Nigerian Stock Exchange Market. The study recommended among other things that companies should incorporate environmental sustainability practices into their business models, maintain good workplace, ensuring protection of human rights, governing the business with fairness and accountability to maximal stakeholder value.