Trading on the Nigerian bourse closed positive Wednesday as the bulls retained their hold on the market. After surging to a record high last week, the market had resumed this week with a decline on Monday on profit taking. However, the bulls returned on Tuesday, pushing up the benchmark index (NSE All-Share Index) by 035 per cent.
The bull run was maintained Wednesday as the index rose 1.05 per cent to close higher at 27,900.44, while market capitalisation added N100.5 billion to close at N9.645 trillion. A total of 25 stocks appreciated compared with 13 that declined in value.
Bellwethers such as Nestle Nigeria, GTBank Plc, Nigerian Breweries were among the price gainers. However, Oando Plc led the table, chalking up 9.9 per cent. The company’s stock had appreciated by 20 per cent last week as its Chief Executive Officer Wale Tinubu unveiled to capital market stakeholders, somestrategies expected to boost the company’s future performance and deliver returns to investors.
Tinubu had said that in the midstream business (power and gas) of the company, the current initiative is to grow aggregate gas pipeline utilisation portfolio to an average of 70mmscfd, commence operation of gas trading platform, design and commence implementation of appropriate financing plan for Oando Gas & Power (OGP). He added in 2018, the company would grow aggregate gas pipeline utilisation portfolio to an average of 100mmscf/day.
“We will complete the development and commence operation of at least 20mmscfd Mini LNG Business. Complete development and commence operation of 50MW embedded/grid power generation, commence operation of Floating Storage & Regasification Units (FSRU) facility,†he said.
Meanwhile, May & Baker Nigeria Plc closed as the second highest price gainer with 9.8 per cent, while Linkage Assurance Plc and Redstar Express Plc added 7.4 per cent and 4.9 per cent respectively.
Conversely, C & Leasing Plc led the price losers, shedding 8.2 per cent close at N0.67, trailed by Law Union and Rock Insurance Plc and Livestock Feeds Plc with 4.7 per cent apiece. Union Bank of Nigeria Plc and African Prudential Registrars Plc declined by 2.9 per cent and 2.1 per cent in that order.
The market had last week surged to new high, a development analysts at Afrinvest (West Africa) attributed to changes in the foreign exchange (FX) market, which they said increased foreign investors to the equities market.
