The Nation Newspaper

Category: Capital Market

Ellah Lakes’ N2.9b rights issue closes Wednesday

Application list for the ongoing N2.9 billion rights issue by Ellah Lakes Plc is scheduled to close on Wednesday.

Ellah Lakes is offering 1.0 billion ordinary shares of 50 kobo each to existing shareholders at N2.90 per share. The rights issue was pre-allotted on the basis of one new share for every two shares held as at the close of business on Friday, February 10, 2023.

The agricultural company will use the net proceeds of the rights issue to strengthen its balance sheet to support new business developments.

Ellah Lakes has signed many agreements in recent period for major projects that are expected to form the backbone of the company’s business diversification drive.

It had reached agreement to build a 600-tons sugar refinery in collaboration with Montserrado Investment Ltd. The sugar processing facility is expected to run on 100 per cent renewable power.

Ellah Lakes had earlier reached agreement with Ondo State government on the development of a palm oil and cassava farm, covering about 5,000 hectares. Both partners would jointly develop and manage the farm for the cultivation of oil palm and cassava in Ondo State.

Ellah Lakes had in August 2020 entered into exclusive discussions to acquire the entire issued capital of an oil palm processing company with substantial assets in Delta State.

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Chief Executive Officer, Ellah Lakes Plc, Chuka Mordi said the refinery agreement was a significant landmark for the company in fulfilling its strategic objective of diversifying its portfolio and production base.

“We are very pleased at this collaboration and look forward to a mutually beneficial, valuable and fruitful venture,” Mordi said.

He noted that the new sugar plant aligns with the National Sugar Master Plan (NSMP) being championed by the National Sugar Development Council (NSDC), which is geared towards accelerating the development and growth of the local sugar industry to achieve national self-sufficiency.

Ellah Lakes was incorporated on July 2, 1980 and was listed on the Nigerian Exchange (NGX) on January 14, 1993. Originally a fish-farming company, Ellah Lakes had recently embarked on a comprehensive restructuring and diversification of its businesses. In 2019, it acquired Telluria in order to diversify its product offerings in the agribusiness sector.

Ellah Lakes acquired 100 per cent equity stake in Telluria with effect from May 7, 2019. Having complied with all the necessary regulatory requirements, the acquisition was approved by the NSE and Securities and Exchange Commission (SEC).

Mordi has said ongoing restructuring would make Ellah Lakes to attain profitability and further foster its vision of being the leading supplier of sustainable edible oil and starch to the consumer goods sector in Nigeria.

He noted that prior to 2019, Ellah Lakes was an insolvent entity but Telluria Ltd completed a reverse acquisition of the company, recapitalising the balance sheet and repositioning the business for growth with a new board and management team.

“Today, we are undergoing a restructuring exercise, which will return the business to profitability and reposition it as a leading agribusiness player across West Africa. From a corporate governance point of view, we hold ourselves to high standards of governance as expected by our shareholders and regulator, and as is befitting of our vision to become the leading supplier of sustainable edible oils and starch to the FMCG Industry in Nigeria, particularly, and West Africa, in general,” Mordi said

November 20, 2023
Nigerian, African Diaspora emerge winners in Access Art X Prize

ACCESS Holdings will be paying $20,000 grants to two star prize winners in its just concluded 2023 Art X competition. Julius Agbaje from Nigeria and Asmaa Jama representing the African/Diasporan category were selected as the standout talents from an exceptional pool of finalists. Both awardees will receive $10,000 grants towards solo exhibitions at ART X Lagos 2024, providing them with a platform to showcase their evolving artistic narratives and ideas.

Their selection is a testament to their artistic prowess, unique vision, and potential for global impact.

The winners were announced at a ceremony, held at Access Holdings’ headquarters in Lagos.

The Access ART X Prize, a prestigious platform for recognising and nurturing emerging artistic talent from Africa and its diaspora, announced the distinguished winners of its 2023 edition.

Having faced a challenging task in selecting the winners, given the exceptional level of talent and creativity on display, the jury further selected Roanna Tella (Nigerian category) and Lawrence Mwangi (African/Diaspora category) for honourable mentions. Both artists will receive prizes of $2,000 and tailored mentorship.

Additionally, the Nigerian winner will embark on a three-month residency at Gasworks, London, while the AfricaN Diaspora winner will enjoy a residency at Yinka Shonibare’s GAS Foundation in Lagos. Both recipients will benefit from tailored mentorship and an invaluable opportunity for cultural exchange.

Group Chief Executive Officer of Access Holdings PLC, Herbert Wigwe, said: “At Access Holdings, we view the Access ART X Prize as more than an accolade; rather, as a catalyst for change. It is a testament to our unwavering commitment to foster creativity and propel the African art industry towards unprecedented heights.

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“The Prize also embodies a promise that we will continue to support and nurture the burgeoning talents in Africa; foster diversity, inclusivity, and cross-cultural exchange within the African art scene, and deepen collaborations with partners that bring us closer towards our vision of shaping a brighter, more inclusive future for all.”

Speaking on the Access ART X Prize, Tokini Peterside-Schwebig, the founder of ART X Collective, expressed her excitement, stating: “Our vision to showcase the depth and diversity of contemporary African art to the world revealed a critical necessity, which was the need to nurture and guide emerging talent on the continent to ensure their lasting impact. The birth of the Access ART X Prize was fueled by an ardent commitment to bridging the gap for early-career artists, empowering them to evolve into adept, globally relevant creatives.”

The distinguished jury for the 2023 Access ART X Prize comprised luminaries such as Babajide Adeniyi-Jones (Documentary Photographer), Barthélémy Toguo (Artist), Daudi Karungi (Founder of Afriart Gallery), Emeka Ogboh (Artist), Gabi Ngcobo (Artist, Educator, and Curatorial Director of the Javett Art Centre), and Yesomi Umolu (Director of Curatorial Affairs and Public Practice for the Serpentine Galleries). Jumoke Sanwo served as the curator of the prize for the second year running.

Prior to the winner announcement, the finalists participated in a two-day ‘Finalist Forum’, designed to equip them with vital presentation skills and offer valuable artistic insights. This immersive initiative featured interactive workshops, expert and peer review opportunities, all under the guidance of esteemed facilitators and industry experts. The finalists then presented their work to the Prize Jury, after which the eventual winners were selected.

In 2022, the Access ART X Prize expanded its scope to include artists from beyond Nigeria. This expansion marked a milestone in fostering diverse creativity and amplifying the voices of rising talents across the continent. The 2023 edition of the prize garnered an overwhelming response, with over 3,500 applications received from around the world during the 4-week application period. This surge in applications reflects the growing importance of the Access ART X Prize in the art ecosystem and its ability to attract diverse talent from all corners of the globe.

November 20, 2023
Access Bank, Visa partner on cross-border payments

Access Bank has partnered Visa, the world leader in digital payments, to enhance the efficiency of cross-border business-to-business payments, a partnership that will facilitate cross-border payments to some 110 countries globally.

Access Bank’s corporate, commercial and small and medium enterprises (SMEs) customers will be able to adopt Visa B2B Connect platform to send and receive payments to and from 110 countries worldwide in a faster, more efficient and more secured way, thus facilitating seamless global business operations.

Deputy Managing Director, Access Bank, Victor Etuokwu, said the deal signifies Access Bank’s commitment to digital innovation and providing best-in-class services to SMEs and large corporate clients.

According to him, the collaboration will enhance customer experience and develop commerce across various trading corridors by providing businesses with cross-border payment services that are cost-effective, efficient, reliable, and secure.

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“Access Bank has the vision to be the bank of first choice, offering innovative financial services, built on trust and driven by a passion for excellence. The partnership with Visa brings innovation to the forefront and provides our clients with the latest technology advancements to meet their changing needs.

“Access Bank’s Visa B2B Connect enrolment will help strengthen businesses in Nigeria by delivering fast, transparent, and secure payment services. The bank’s participation in the Visa B2B Connect platform contributes to technology modernisation and service excellence, enhancing Access Bank’s partnership with businesses in Nigeria,” Etuokwu sasd.

Head, Visa B2B Connect, CEMEA, Vishal Virmani, said Visa was excited with the partnership as it opens a new frontier across the West African region.

“With Access Bank’s addition to Visa B2B Connect, we are excited to launch the platform in Nigeria and West Africa to benefit businesses and the cross-border payments eco-system in the country. The solution supports digital innovation and increases efficiency for financial institutions and their corporate clients,” Virmani said.

Virmani said Visa B2B Connect is an innovative, non-card-based multilateral platform delivering B2B cross-border payments to 110 countries worldwide that are predictable, secure, and cost-effective for financial institutions and their corporate clients.

General Manager, Nigeria and Cluster Head of West Africa, Visa, Andrew Uaboi explained that although many businesses may find cross-border payments complex, Visa B2B Connect creates predictability and transparency for customers, providing key insights for strategic decision-making and business planning.

“Technology is bringing us closer together; yet, when it comes to small businesses and corporate clients moving money around the world, there are challenges that remain that haven’t been solved.

“As Access Bank join the Visa B2B Connect network in Nigeria, The bank’s collaboration with Visa will help businesses in the country to send and receive international payments quickly and securely,” Uaboi said.

He outlined that with its one-to-many connection, Visa B2B Connect helps to reduce the number of correspondent transfers required to process a payment, which allows for more cost-effective cross-border transactions and provides both corporate financial institutions and their customers a transparent view of fees associated with each transaction helping the companies to manage their cash flows.

He added that Visa B2B Connect platform can also be used to send payments to out-of-network banks.

October 16, 2023
Banks to beef up capital to mitigate forex shocks

More banks are expected to undertake capital raising to beef up their balance sheet as banks take proactive measures to mitigate short to medium-term risks occasioned by foreign exchange (forex) volatility.

Experts said voluntary recapitalisation drive by banks is good for the industry and the economy as additional capital places the banks in stronger position to navigate adverse effects of policy changes.

They, however, said there were no needs for changes in existing regulatory capital requirements for the industry, noting that the current regulatory framework allows banks to operate within a niche and envisioned growth plans.

The Nation had reported that four banks had started capital raising process, with expectation that the first set of fund-raising banks could raise about N400 billion. Nigeria’s oldest financial services group, FBN Holdings Plc plans to raise N139 billion in new equity funds. Three other banks- Wema Bank, Fidelity Bank and Jaiz Bank are also seeking to raise more than N135 billion in separate offer proposals.

This is the first time that many banks are having a cluster of offers since the 2005-2008 banking recapitalisation, which saw the largest group fundraising in the history of the capital market.

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Former Governor of Central Bank of Nigeria (CBN) and current Governor of Anambra State, Prof. Chukwuma Soludo had raised new minimum capital base for banks alongside other changes, a move that triggered unprecedented fund raising by banks and reduced the number of banks to less than one third.

President, Association of Capital Market Academics of Nigeria, Professor Uche Uwaleke, said recapitalisation for banks had become necessary in view of the plummeting value of the naira.

“The unification of exchange rates and attendant naira devaluation eroded the dollar value of banks in Nigeria, especially those playing in the international scene. So, I expect many more to seek recapitalisation, which will have a positive impact on our stock market,” Uwaleke said.

He, however, noted that as much as this is a welcome development for the banking industry, it should not be compelled by the CBN, urging that it should be voluntary and not regulatory-induced through another increase in the minimum capital requirement for banks.

“Many of the banks have strong fundamentals and, to this extent, will remain the toast of investors. I have no doubt that given the financial performance of most banks, both institutional and retail investors will respond favourably to any public offering of shares by these banks,” Uwaleke said.

Managing Director, Globalview Capital Limited, Mr. Aruna Kebira, said banks might be reading both the lips of the apex bank and the unfolding macroeconomic environment.

“The continued devaluation of the naira is a pointer that the banks need to recapitalise to be able to withstand shocks that might come from exchange rate fluctuations, knowing fully that they are exposed to facilities and businesses dominated in foreign currency.

“I think it has come to that point that Soludo envisioned in 2004 that sparked the recapitalisation of the banks. If the above scenario is envisioned by the CBN, then the recapitalisation would affect all the banks just the way it did in 2004,” Kebira, a senior capital market operator, said.

He also alluded to the positive investors’ perception and the generally positive market situation as motivations for self-induced recapitalisation.

“Whether we like it or not, banks make up the list of the most profitable companies listed on the stock market. With such unprecedented interim dividends and the sterling performances they recorded in their first half 2023, banks would not find it difficult raising capital from the market,” Kebira said.

Managing Director, Arthur Steven Asset Management, Mr. Olatunde Amolegbe said banks with less tier 1 capital are already facing some medium-term uncertainties and risks, coming from the high-interest rate environment that the economy is struggling with and the devaluation of the naira that have led to a lot of companies having to book significant losses.

According to him, while banks generally may easily refer to their business expansion plans, the banks might also be hedging against medium-term risks and the unfolding dynamics in the operating environment.

“It’s very likely that in medium term, banks could see some significant jump in their non-performing loans (NPLs), so it will be wise for any bank to try and build up their tier 1 capital now in order to hedge the medium-term risks. A lot of the companies booking revaluation losses are owing banks, higher tier 1 capital will mitigate any possible increase in NPL, which may occurred due to forex changes and other macroeconomic risks,” Amolegbe, a former president of Chartered Institute of Stockbrokers (CIS) said.

He also noted that the current market situation favours banks citing the remarkable improvement in share prices in recent period, the improvement in general appetite for equities and attractive financial results by banks.

FBN Holdings plans to float a rights issue of 8.974 billion ordinary shares of 50 kobo each at offer price of N15.50 per share. The rights issue will be pre-allotted to shareholders on the register of the company as at close of business on October 09, 2023, on the basis of one new ordinary share of 50 kobo each for every four ordinary shares of 50 kobo each held.

Nigeria’s premier and largest non-interest bank, Jaiz Bank is undertaking a rights issue of about 5.41 billion ordinary shares of 50 kobo each at offer price of N1 per share, representing initial offer size of N5.4 billion. The rights issue will be pre-allotted on the basis of 87 new ordinary shares for every 250 ordinary shares held as at the close of business on Friday, October 6, 2023.

Also, Nigeria’s oldest surviving indigenous bank, Wema Bank Plc, is completing arrangements for a rights issue of about N40 billion. Wema Bank will issue 8.572 billion ordinary shares of 50 kobo each at N4.66 per share to all shareholders on its register as at close of business on Thursday, September 28, 2023. The rights will be pre-allotted on the basis of two new ordinary shares for every three shares held as at the September 28, 2023.

Fidelity Bank Plc had launched a hybrid capital raising plan aimed at sourcing some N90 billion in new equity funds from existing and new shareholders. The bank plans to issue 13.2 billion ordinary shares of 50 kobo each to new and existing investors to boost its capital base.

Under the plan, the bank is seeking to float a public offer of 10 billion shares and a rights issue of 3.2 billion shares. The rights issue will be allotted on the basis of one new share for every 10 shares held.

October 16, 2023
Nigerian equities rally to world’s 3rd best return

• Investors net N8.7tr

Nigerian equities rallied to global top three position at the weekend as renewed bargain-hunting ahead of the third quarter earnings reports spurred average return so far this year to about N8.7 trillion.

Nigeria recorded average gain of 1.12 per cent to close the week with average year-to-date return of 31.12 per cent, the third highest return globally. Nigeria trails Turkiye and Egypt, which posted 47.3 per cent and 37.0 per cent respectively.

Global stock data tracked by The Nation’s Market Intelligence at the weekend indicated that while several other markets had suffered decline in recent period, the Nigerian market, which was previously in the fourth position, had recorded considerable gain, leading to a forward shift in the global returns chart.

The data included the most prominent stock markets and cut across the various tiers of advanced, emerging and frontier markets. These included United States, United Kingdom, Germany, Japan, France, Hong Kong, Russia, India, Brazil, China, Thailand, Turkiye, Saudi Arabia, Qatar and United Arab Emirates (UAE). African markets included Nigeria, South Africa, Kenya, Morocco, Ghana, Egypt and Mauritius.

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Asian emerging market, Turkiye’s BIST 100 Index remained with the highest return at 47.3 per cent, four percentage points below its previous return of 51.3 per cent. Egypt also retained African group leadership with the EGX 30 Index returning 37.0 per cent. This however represented 1.2 percentage points below its previous return of 38.2 per cent. Nigeria’s benchmark index, the All Share Index (ASI), rose by 1.12 per cent to close at 31.12 per cent, some 1.6 percentage points above its previous ranking of 29.52 per cent. Ghana’s GSE Composite Index, which had ranked third with average return of 29.8 per cent, dropped to fourth position with average return of 28.7 per cent.

The data sourced from the Nigerian Exchange (NGX), Bloomberg and Afrinvest West Africa showed that United States’ Nasdaq Index posted average return of 28.5 per cent, but this was moderated by average return of 12.5 per cent by the S & P 500 Index. Japan’s Nikkei 225 Index maintained its sixth position with 23.8 per cent, an increase on its previous return of 22.1 per cent.

Other top-10 returns included Morocco’s Casablanca Masi Index, 14.1 per cent; Germany’s Xetra DAX, 9.1 per cent; India’s BSE Sens Index, 8.9 per cent and France’s CAC 40 Index, which posted average return of 8.2 per cent.

The All Share Index (ASI)- the common value-based index that tracks all share prices at the NGX, closed weekend at 67,200.69 points as against it week’s opening index of 66,454.57 points. It had opened the year at 51,251.06 points. It opened 2022 at 42,716.44 points.

Aggregate market value of all quoted equities also rose from the year’s opening value of N27.915 trillion to close weekend at N36.920 trillion. It had opened the week at N36.510 trillion, representing net gain of N410 billion during the week. Equities’ capitalisation opened 2022 at N22.297 trillion.

The continuing rally at the market came on the back of renewed optimism over the economic direction of the President Bola Tinubu administration, widely regarded as investor-friendly. Average return in the first four months of the year was 2.25 per cent or N628.1 billion.

The overall performance of the equities market this year has largely been influenced by what the market described as “post-inauguration rally”, referencing the positive sentiments that have trailed the pro-market reforms of the Tinubu’s administration, since May 2023.

The NGX had stated that experts’ opinions on the strong performance of the market were that the bullish trend was due to “a combination of factors, including investor sentiment influenced by macroeconomic developments such as the formation and swearing-in of the economic cabinet by President Bola Tinubu”.

The NGX had also attributed the market performance to the “audacious macroeconomic reforms under the new administration” of Tinubu.

According to the NGX, market operators were of the view that “the policies of the new administration under President Bola Tinubu” had “led to the rise in the fortunes of investors”.

Afrinvest Securities said “economy reform optimism” bolstered the market performance, noting that the “the rally in the market followed the promise of critical reforms by the President Bola Tinubu administration”.

Analysts at Arthur Steven Asset Management said the equities market’s bullish momentum was “because of the new administration which tends to affect the market positively”.

“The market reacted to the high expectation from the new administration as the government promised the investors easy repatriation of their investment and profit,” Arthur Steven Asset Management stated.

Nigerian equities had gained N8.24 trillion in the third quarter with average return at 29.52 per cent. The equities market had broken its known cycle of decline in pre-election year to record their third consecutive positive performance in 2022, with full-year average return of 19.98 per cent, equivalent to net capital gain of N4.455 trillion.

The equities market had closed 2021 with average return of 6.07 per cent, equivalent to net capital gains of N1.278 trillion. In the throes of the outbreak of COVID-19 pandemic in 2020, it had recorded average return of 50.03 per cent, representing net capital gains of N6.483 trillion.

Segmental analysis showed that the stock market recorded average return of 8.88 per cent during the three-month period ended September 30, 2023. However, the market suffered a marginal relapse of 0.25 per cent in September 2023.

Sectoral analysis showed a market-wide rally with above average returns across several sectors. The NGX 30 Index, which tracks the 30 largest quoted companies, recorded average return of 32.54 per cent within the nine-month period. The NGX Oil and Gas Index recorded the highest return of 97.63 per cent. The NGX Consumer Goods Index trailed with a nine-month return of 92.28 per cent. The NGX Insurance Index rose by 62.31 per cent. The NGX Banking Index posted average return of 59.57 per cent by the third quarter 2023. The NGX Industrial Goods Index recorded a modest return of 10.8 per cent.

The NGX Pension Index, which tracks stocks that meet the stringent rules for investment of pension funds, posted above average return of 58.90 per cent. This implies that pension funds administrators (PFAs) with substantial exposure to the equities market will deliver better returns than others. Also, the NGX Lotus Islamic Index, which tracks ethical stocks that comply with Islamic finance rules, recorded above-average return of 33.40 per cent, underlining the attractiveness and diversity of the equities market to alternative finance investors.

Most analysts remain optimistic on the outlook for the Nigerian market.

Analysts at Afrinvest Securities said they expected the market to close this month positive.

“Barring any major shock, we expect the bourse to close October in the green, driven by the fresh opportunities presented by price correction on some blue-chip stocks in September,” Afrinvest stated at the weekend.

Analysts at Cordros Securities however said they expected cautious trading in the period ahead citing the “absence of significant positive catalysts to boost sentiments”.

“Overall, we advise investors to take positions in only fundamentally justified stocks as the unimpressive macro story remains a significant headwind for corporate earnings,” Cordros Securities stated.

Chief Executive Officer, Crane Securities Limited, Mike Ezeh said the emergence of Tinubu had further energised the market as market participants have hopes in his ability to rejig the economy and implement economy-friendly policies.

He urged the new government to continue to implement policies that would provide enabling environment for businesses to thrive, noting that this would help boost foreign direct investments (FDIs) and attract issuers to the capital market.

October 16, 2023
VFD Group seeks N12.5b new equity funds from shareholders

VFD Group Plc is seeking to raise about N12.5 billion in new equity funds from its existing shareholders.

The newly listed proprietary investment group plans to issue 63.34 million ordinary shares of 50 kobo each to its shareholders at N197.33 per share.

The rights issue will be pre-allotted on the basis of one new share for every three ordinary shares held as at the close of business on Thursday, October 12, this year.

VFD Group boasts of diverse investment portfolio that includes banking, non-banking financial institutions, market infrastructure, technology, real estate, hospitality, media, entertainment and energy. It holds the single largest individual stake in NGX Group.

The planned rights issue comes on the heels of recent listing of VFD Group on the Nigerian Exchange (NGX).

The listing of VFD Group’s shares added N46.5 billion to the market capitalisation at NGX, further boosting liquidity in the Nigerian capital market and providing more opportunities for wealth creation.

A total of 190.027 million ordinary shares of 50 Kobo each were listed in VFD Group’s name at N244.88 per share.

In 2021, VFD Group had successfully raised additional capital of N4.1 billion through a rights issue to support ongoing expansion plans.

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Chairman, VFD Group Plc, Mr. Olatunde Busari, SAN, at a meeting, outlined the group’s strategic growth plan to its shareholders with a commitment that the group will consolidate on existing businesses and seek out cross-border opportunities to drive growth in the years ahead.

He said the group remains optimistic about the outlook and would position itself to take advantage of opportunities that present themselves during the year.

According to him, the group would also focus on consolidating its existing business interests and drive its vision of becoming a commercially viable proprietary investment company with global influence.

“We will continue to seek cross border opportunities that enable us access new market to help us aggregate the service offerings of our existing portfolio companies and collaborations outside our ecosystem to build a platform that allows us ring-fence stakeholder value chain,” Busari said.

He pointed out that as an organisation, VFD Group would always be measured by how much value it delivers to its shareholders, employees, community and all other stakeholders, assuring that the group remains committed to good governance and ethical business practices that promote the long-term interests of its stakeholders.

At the listing ceremony at NGX, Busari explained that the group is a proprietary investment group that focuses on building positive and socially conscious ecosystems by aggregating potentially viable businesses to create innovative products and solutions accessible to the every citizen and entrepreneur.

He said the listing on NGX is a strategic move to increase VFD Group’s visibility, enhance its access to capital, and improve its liquidity, ultimately benefiting its valued investors and stakeholders.

“We are excited to join the distinguished ranks of companies listed on the Exchange, and we are confident that this step will provide us with the resources we need to continue our growth trajectory and serve our shareholders even better,” Busari said.

Group Managing Director, VFD Group Plc, Mr. Nonso Okpala said the listing was a momentous occasion for the VFD Group.

According to him, the group’s journey from a boutique investment firm to a publicly traded company on the NGX reflects the dedication and hard work of its entire team.

“We are excited about this new chapter and the opportunities it brings to further strengthen our market position.

“We will continue to work toward our strategic goal of creating Africa’s first diverse business ecosystem. When compared to where we started, what we set out to achieve, and economic realities, the group’s performance has been outstanding on all fronts. Our focus on business expansion has yielded results, particularly in sectors other than financial services, and we have significantly increased our balance sheet,” Okpala said.

October 16, 2023
Access Bank promotes women’s health

Access Bank’s ‘W’ Initiative- a female-focused, banking-led programme, is set to hold the fifth edition of its ‘W Health Month Programme’.

The yearly women’s health month programme aims at promoting sound health among women. This edition is scheduled for this month.

The ‘W’ Initiative recognises the importance of women’s health and seeks to make a positive impact on the lives of women in the community. Through the month-long campaign, the bank hopes to raise awareness about the significance of regular health check-ups, preventative care, educate women on health-related concerns and elevate the overall quality of healthcare available to women.

Group Head, W Initiative, Access Bank Plc, Abiodun Olubitan, said the bank has consistently led the way in empowering women and its commitment has remained steadfast.

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“This October, the ‘W Initiative’ has planned a series of activities to empower millions of women across the country through expert health insights, education, and health screening opportunities.

“These include free cervical cancer screenings, free hepatitis B screenings, discounts on annual health packages, informative health talk sessions at our branches, a complimentary virtual therapy session on World Mental Health Day, an engaging W health webinar on PCOS, sexual wellness and menopause, free eye screenings in observance of World Sight Day and a wide array of other inspiring events to support the health journey of our female clientele,” Olubitan said.

Olubitan noted that the campaign aligns with the bank’s commitment to social responsibility and empowering women in the community.

“We firmly believe that when women are healthy and well-informed, they are better equipped to achieve their personal and financial goals. Join us in our mission to promote women’s health and well-being. Together, we can make a difference in the lives of women in our community,” Olubitan said.

Olubitan reiterated that the bank’s ‘W Initiative’ remains committed to promoting healthcare accessibility for women and has continually done so through the Maternal Health Service Support (MHSS) – a discounted health financing product created specifically to enable payment of medical bills for fertility treatments, natal support, and other specialised procedures making access to quality healthcare easier and convenient for women and their families.

October 9, 2023
Nigerian equities in modest gains amid global decline

Nigerian equities bucked global downtrend as investors renewed bargain-hunting ahead of the release of the third quarter results of quoted companies.

Benchmark indices at the stock market indicated average gain of 0.11 per cent at the weekend, nudging the average year-to-date return to 29.66 per cent.

With more advancers than decliners, the momentum of activities at the stock market also increased considerably as turnover rose by about 80 per cent.

The performance at the market counteracted the negative sentiments at the global stock markets. From the advanced to emerging and frontier markets, most global stock indices closed negative at the weekend.

In United States, the Dow Jones Industrial Average (DJIA) dropped by 1.2 per cent while its twin index, S & P 500 Index, declined by 0.7 per cent. United Kingdom’s FTSE 100 Index dipped by 1.7 per cent. Japan’s Nikkei 225 Index dropped by 2.7 per cent.

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STOXX Europe, which tracks the broad European markets, declined by 1.5 per cent. The MSCI EM Index, which tracks emerging market, depreciated by 2.4 per cent while the MSCI FM Index, which tracks frontier markets, slipped by 1.6 per cent.

The All Share Index (ASI)- the value-based common index that tracks all share prices at the Nigerian Exchange (NGX), closed weekend at 66,454.57 points as against the week’s opening index of 66,382.14 points. With the capital gains and additional listing during the week, aggregate market value of all quoted equities rose from its opening value of N36.331 trillion to close weekend at N36.510 trillion.

Total turnover rose to 2.41 billion shares worth N22.115 billion in 27,965 deals last week as against a total of 1.339 billion shares valued at N17.916 billion traded in 27,874 deals two weeks ago.

The financial services sector led the activity chart with 1.261 billion shares valued at N9.660 billion traded in 12,897 deals; thus contributing 52.31 per cent and 43.68 per cent to the total equity turnover volume and value.

Healthcare sector placed a distant second with 667.197 million shares worth N1.092 billion in 437 deals. Oil and gas sector occupied third position with a turnover of 162.005 million shares worth N1.778 billion in 2,612 deals.

The three most active stocks were Neimeth International Pharmaceutical Plc, Universal Insurance Plc and Fidelity Bank Plc, accounting for 1.213 billion shares worth N2.322 billion in 1,095 deals, contributing 50.35 per cent and 10.50 per cent to the total equity turnover volume and value.

There were 40 gainers against 36 losers last week compared with 25 gainers and 47 losers recorded in the previous week. FTN Cocoa Processors led the gainers with a gain of 19.2 per cent to close at N1.80. R.T. Briscoe Nigeria followed with a gain of 16.33 per cent to close at 57 kobo.

Oando rose by 14.65 per cent to close at N9. Africa Prudential rallied 11.9 per cent to close at N7.05. Thomas Wyatt Nigeria appreciated by 11.46 per cent to close at N2.14 while BUA Cement chalked up 9.94 per cent to close at N94 per share.

On the negative side, Consolidated Hallmark Insurance led the losers with a drop of 19.05 per cent to close at N1.02 per share. Associated Bus Company dropped by 17.72 per cent to close at 65 kobo.

UPDC Real Estate Investment Trust dipped by 10.26 per cent to close at N3.50. Champion Breweries lost 9.87 per cent to close at N3.38 while Chellarams declined by 9.84 per cent to close at N3.48 per share.

Analysts at Cordros Securities said they expected “cautious trading” in the absence of significant positive catalysts to boost sentiments.

“Notwithstanding, we advise investors to take positions in only fundamentally justified stocks as the unimpressive macro story remains a significant headwind for corporate earnings,” Cordros Securities stated in a weekend advisory note.

Analysts at Afrinvest Securities said they expected “a mildly bullish market performance on account of improved investor sentiment”.

October 9, 2023
VFD Group goes public with N46.5b NGX listing

VFD Group Plc at the weekend became a publicly quoted company with the listing of its entire paid up capital on the main board of the Nigerian Exchange (NGX).

The listing of VFD Group’s shares added N46.5 billion to the market capitalisation at NGX, further boosting liquidity in the capital market and providing more opportunities for wealth creation.

A total of 190.027 million ordinary shares of 50 Kobo each were listed in VFD Group’s name at N244.88 per share

Chairman, VFD Group Plc, Mr. Olatunde Busari, SAN, explained that the group is a proprietary investment group that focuses on building positive and socially conscious ecosystems by aggregating potentially viable businesses to create innovative products and solutions accessible to the citizen and entrepreneur.

He said the listing on NGX is a strategic move to increase VFD Group’s visibility, enhance its access to capital, and improve its liquidity, ultimately benefiting its valued investors and stakeholders.

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“We are excited to join the distinguished ranks of companies listed on the Exchange, and we are confident that this step will provide us with the resources we need to continue our growth trajectory and serve our shareholders even better,” Busari said.

Group Managing Director, VFD Group Plc Mr. Nonso Okpala said the listing was a momentous occasion for the VFD Group.

According to him, the group’s journey from a boutique investment firm to a publicly traded company on the NGX reflects the dedication and hard work of its entire team.

“We are excited about this new chapter and the opportunities it brings to further strengthen our market position.

“We will continue to work toward our strategic goal of creating Africa’s first diverse business ecosystem. When compared to where we started, what we set out to achieve, and economic realities, the group’s performance has been outstanding on all fronts. Our focus on business expansion has yielded results, particularly in sectors other than financial services, and we have significantly increased our balance sheet,” Okpala said.

Chairman, Nigerian Exchange Group (NGX Group) Plc, Alhaji Umaru Kwairanga, commended the unwavering commitment of the board and management of VFD Group in making the listing a reality, as well as the pivotal roles played by all the professional parties involved in the transaction.

According to him, securing a listing on the NGX main board entails a steadfast commitment to elevated standards of disclosure and corporate governance.

“This significant listing heralds a fresh chapter for VFD Group Plc to leverage NGX’s value-added services and capital market products to fulfill its strategic objectives,” Kwairanga said.

Chief Executive Officer, Nigerian Exchange (NGX), Mr. Temi Popoola, said the VFD Group would benefit from the prestige of the market as it promises not only to augment VFD Group’s liquidity but also strategically positions it to attract investments from the global arena.

According to him, the listing will also elevate the organization’s market value whilst further advancing transparency and corporate accountability.

“Our marketplace is a highly reputable platform for raising capital and facilitating sustainable growth for national development. As the preferred listing platform in the region, we are dedicated to collaborating with companies at different growth stages to explore diverse capital market opportunities that align with their business goals,” Popoola said.

VFD Group had last month voluntarily delisted its shares previously traded on the NASD Securities Exchange in order to be quoted on NGX.

VFD Group boasts of diverse investment portfolio that includes banking, non-banking financial institutions, market infrastructure, technology, real estate, hospitality, media, entertainment and energy. It holds the single largest individual stake in NGX Group.

October 9, 2023
Fed Govt, NGX, others to partner on tech startups listing

The Federal Government would work with the Nigerian Exchange (NGX) and other capital market operators to open up stronger funding channels and encourage listing of tech startups at the stock market.

Stakeholders in the capital market and the government agreed on the need for collaboration across the private and public sectors to stimulate the growth of Nigeria’s emerging technology industry.

Experts, who spoke during a tech event themed “Invest in Africa’s Future- Let’s talk about exits”, were unanimous that the technology innovation sector offers significant opportunities for the country.

The tech event was a joint initiative of the Ministry of Communications, Innovation and Digital Economy, NGX, and Future Africa. It was also supported by Stanbic IBTC, CardinalStone Partners and Chapel Hill Denham. The event was held on the sidelines of the United Nations General Assembly, in New York, United States.

Minister of Communications, Innovation and Digital Economy, Bosun Tijani, said Nigeria had been grappling with its over dependence on oil in the last few years, adding that diversifying from heavy reliance on a single sector like the oil industry often requires increasing productivity in other sectors.

According to him, diversification can be achieved through the application of technology and innovation, something the leadership of President Bola Tinubu is particular about.

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He said the Ministry will work on creating a regulatory environment for fintechs, access to funding, especially from angel investors, improve digital infrastructure, facilitate the export of tech products and services and collaborate with NGX on tailored listing options for startups via its technology board.

“We cannot do all of this as a country if we do not prioritise innovation and encourage entrepreneurs to build. Nigeria is now open to investments. We want to prioritise the ability of our technology companies to export products and we are targeting Africa first and then eventually start selling to the rest of the world,” Tijani said.

Chief Executive Officer, Nigerian Exchange (NGX), Temi Popoola, said the Exchange would support the agenda of the government in unleashing the potential of the economy.

He noted that technology is a big enabler of the capital market, assuring that the NGX is keen on fostering innovation in the capital market, potentially to attract a larger pool of investors and mature tech companies to list on its platform.

“We will continue to do a lot of work that makes us able to attract local capital and the day tech start-ups come to the exchange, we are confident that there would be very good audience of investors that would want to own a bit of their shares. This is what we at NGX are doing by removing all barriers for that to happen,” Popoola said.

Chief Executive Officer, Flutterwave, Olugbenga Agboola said his company has focused on the Nigeria project since inception with most of its investible capital deployed to Nigeria.

He added that the company would be looking at tapping opportunities created by the markets to scale and further deliver value to its customers and investors.

Chief Executive Officer, Chapel Hill Denham, Mr Bolaji Balogun underscored the importance of domesticating the values being created by Nigerian fintechs and other startups in the country through listing and popular participation by Nigerians.

He expressed optimism that with the commitments of all stakeholders, Nigerian investment community would get the opportunity to participate in the capital formation going on in the tech sector, rather than all the intellectual property that will emanate from it being controlled by foreign markets.

September 25, 2023