Governance Mechanisms and Value Creation in Nigerian Family Business Groups: Evidence from Listed Entities

This study investigates governance mechanisms and their relationship with value creation in Nigerian family business groups with listed entities on the Nigerian Exchange Group. Family business groups, characterised by cross-ownership structures, concentrated family control, and interlocking directorships, present complex governance environments where the interplay of family interests and market accountability shapes firm outcomes. Existing Nigerian governance literature has focused primarily on standalone listed firms, leaving the governance dynamics of family business groups underexplored. Drawing on the socioemotional wealth theory and the stewardship-agency governance hybrid model, this study examines governance characteristics including family board representation, minority shareholder protection mechanisms, related-party transaction governance, and group-level transparency in six listed family business groups over eight years. Value creation is assessed using economic value added, Tobin's Q, and dividend yield trajectories. Panel regression with group-level fixed effects controls for group age, industry diversification, and founding family ownership proportion. The study fills a methodological and empirical gap by examining group-level governance rather than entity-level governance, providing a more realistic representation of how family business groups are actually governed. Findings will assist the Securities and Exchange Commission, institutional investors, and family governance advisors in developing group governance standards applicable to listed family business structures. Keywords: family business groups, governance mechanisms, value creation, socioemotional wealth, listed entities.