Investors Lose N468.4bn in Three-days as Profit-taking Persist

Kayode Tokede

Investors trading on the stock market segment of the Nigerian Exchange Limited (NGX) lost an estimated N468.4 billion of their investment in three-day as profit-taking persisted in fundamental stocks.

As profit-taking persisted, the overall market capitalisation closed yesterday at N58.948 trillion, representing a decline of N468.4 billion or 0.8 per cent from N59.416 trillion the stock market opened for trading this week.

Opening trading this week, the market capitalisation dipped by N238 billion to close at N59.178 trillion and shed N62 billion the following day to close at N59.116 trillion.

As of closing yesterday, the market capitalisation dipped by N168 billion to close at N58.948 trillion.

Consequently, the NGX All-Share Index dropped to 104,256.81basis points yesterday from 105,085.25basis points the stock market opened for this week, representing a decline of 828.44 basis points or 0.8per cent.

Analysts at Afrinvest Limited said “tomorrow, we anticipate an extended bearish performance as the market remains short of positive trigger.”

Trading activities yesterday revealed that investors sentiment, as measured by market breadth closed positive as 29 stocks advanced, while 24 declined.

NEM Insurance and CWG emerged the highest price gainer of 10 per cent each to close at N8.80 and NN6.05 respectively while Juli followed with a gain of 9.98 per cent to close at N6.50, per share.

International Energy Insurance rose by 9.85 per cent to close at N1.45, while Thomas Wyatt Nigeria appreciated by 9.55 per cent to close at N2.18, per share.

On the other side, Secure Electronic Technology and The Initiates Plc (TIP) led others on the losers’ chart with 10 per cent each to close at 54 kobo and N2.16 respectively, while FBNH followed with a decline of 9.90 per cent to close at N39.60, per share.

Vitafoam Nigeria lost 9.88 per cent to close at N19.15, while Berger Paints depreciated by 9.80 per cent to close at N15.65, per share.

The total volume traded decreased marginally by 2.73 per cent to 298.652 million units, valued at N6.841 billion, and exchanged in 8,248 deals. Transactions in the shares of FBNH led the activity with 37.807 million shares worth N1.573 billion. United Bank for Africa (UBA) followed with account of 36.855 million shares valued at N954.382 million, while Access Holdings traded 28.087 million shares valued at N649.273 million.

Transcorp traded 21.573 million shares worth N322.628 million, while Fidelity Bank traded 19.814 million shares worth N200.457 million.

Meanwhile, Access Holdings Plc announced that its flagship subsidiary, Access Bank Plc has entered into a binding agreement with Kenyan-based KCB Group Plc for the acquisition of the entire issued share capital of National Bank of Kenya Limited from KCB. This acquisition is aimed at further strengthening the bank’s African expansion strategy.

Also, PZ Cussons Plc disclosed that the Securities and Exchange Commission (SEC) has declined the company’s ‘No Objection’ request for its majority shareholder, PZ Cussons (Holdings) Limited  intention to acquire the shares held by minority shareholders at an offer price of N23 per share.