The Nation Newspaper

Category: Equities

  • Seplat doles out N17.13b bonus shares to employees

    Seplat Petroleum Development Company Plc Board of Directors has distributed ordinary shares of the oil and gas company worth N17.13 billion to its employees as bonus shares.

    A regulatory filing indicated that the company awarded 25 million ordinary shares of 50 kobo each as bonus shares to its staff members under the company’s Long-Term Incentive Plan (LTIP).

    The supplementary listing of the  ordinary shares at the Nigerian Stock Exchange (NSE) increased the company’s total issued and fully paid up shares to 588.445 million ordinary shares.

    The supplementary listing implies that the beneficiaries can trade on their shareholdings, subject to the conditions for the award of the shares.

    Seplat opens today at the NSE at N685 per share.

    The firm’s Company Secretary, Dr Mirian Kene Kachikwu, said the distribution was in exercise of the powers granted to the board of the oil and gas company by the shareholders at the Annual General Meeting (AGM) held on June 30, 2014 to implement the initial public offering (IPO) award and other remuneration of the top management and directors as disclosed in the IPO prospectus.

    She said the 25 million shares were allotted to Stanbic IBTC Trustees Limited as custodian in furtherance of the company’s LTIP.

    After a highly successful global initial public offering (IPO) of $500 million, Seplat had made history in April 2014 as the first upstream company to be listed on the NSE. It also simultaneously listed its shares on the London Stock Exchange (LSE). The IPO was oversubscribed.

    Seplat was founded in 2009 by Shebah Petroleum Development Company Limited and Platform Petroleum (Joint Ventures) Limited for the purpose of investing in Nigerian oil and gas opportunities. Maurel& Prom, a French independent oil company, subsequently acquired a 45 per cent equity interest in SEPLAT; this interest was later spun-off to form Maurel & Prom Nigeria S.A, now known as Maurel & Prom International.

    In July 2010, Seplat acquired a 45 per cent participating interest in, and was appointed operator of, a portfolio of three onshore producing oil and gas leases in the Niger Delta (OMLs 4, 38 and 41), which includes the producing Oben, Ovhor, Sapele, Okporhuru, Amukpe and Orogho fields. Since acquisition, Seplat has more than tripled production from these OMLs.

    In June 2013, Newton Energy Limited, a wholly-owned subsidiary of the company, entered into an agreement with Pillar Oil Limited to acquire a 40 per cent participating interest in the Umuseti/Igbuku marginal field area within OPL 283.

  • Nigerian equities lose N542b in steepest decline

    Nigerian equities lost N542 billion in a five-day consecutive negative tradings last week, the longest downtrend so far this year.

    With equities reaching a high of N16 trillion two weeks ago, investors turned round to monetise and lock in capital gains, overwhelming the underlying bargain-hunting that had sustained a strong bullish rally earlier this  year.

    Benchmark indices at the Nigerian Stock Exchange (NSE) indicated average week-on-week decline of 3.39 per cent, equivalent to net capital depreciation of N542 billion. The all-week decline impaired the average year-to-date return at the equities market to 12.77 per cent.

    With nearly three losers for every gainer, aggregate market value of all quoted equities at the Exchange dropped from its week’s opening value of N16.019 trillion to close at N15.477 trillion. The All Share Index (ASI)-the benchmark index for Nigerian equities, dropped from the week’s opening index of 44,639.99 points to close weekend at 43,127.92 points.

    All sectoral indices at the stock market also closed negative, underlying the widespread sell sentiment that drove pricing during the week. However, year-to-date analysis indicated that most portfolios remained positive, with positive returns by the main and sectoral indices.

    The NSE 30 Index-which tracks the 30 most capitalised stocks, recorded above average decline of 3.59 per cent. The NSE Banking Index dropped by 3.41 per cent. The NSE Insurance Index declined by 0.73 per cent. The NSE Consumer Goods Index dipped by 2.60 per cent. The NSE Oil and Gas Index posted a return of -4.61 per cent while the NSE Industrial Goods Index depreciated by 3.52 per cent.

    There were 23 gainers against 64 losers last week compared with 49 gainers and 42 losers recorded in the previous week. A total of 85 equities remained unchanged last week, higher than 81 equities recorded in the previous week.

    Last week’s commencement of implementation of a new pricing rule that removed nominal value stopgap and allowed equities to fall as low as one kobo appeared to impact on share pricing trend. Dormant stocks that had stuck at their nominal value of 50 kobo dominated the top losers’ list. Consolidated Hallmark Insurance recorded the highest fall of 27.1 per cent to close at 35 kobo. Skye Bank followed with a drop of 25.2 per cent to close at N1.07. Unic Diversified Holdings dropped by 21.7 per cent to 36 kobo. Multiverse Mining and Exploration depreciated by 16.7 per cent to 40 kobo. WAPIC Insurance dropped by 14.7 per cent to 64 kobo. Wema Bank fell by 14 per cent to N1.29. FBN Holdings lost 13.4 per cent to close at N12 while Japaul Oil & Maritime Services declined by 12.5 per cent to 42 kobo.

    Total turnover stood at 4.43 billion shares worth N24.24 billion in 29,573 deals as against a total of 3.27 billion shares valued at N28.12 billion traded in 35,761 deals two weeks ago. The financial services sector was the most active sector a turnover of 4.005 billion shares valued at N16.50 billion traded in 19,035 deals; representing 90.5 per cent and 68.1 per cent of the total equity turnover volume and value respectively. The conglomerates sector followed with 167.72 million shares worth N464.66 million in 1,568 deals while consumer goods sector ranked third with a turnover of 137.66 million shares worth N5.33 billion in 4,982 deals.

    Low-priced stocks dominated the top activities chart. The trio of Sterling Bank, Skye Bank and FCMB Group were the most active, accounting for 2.52 billion shares worth N5.28 billion in 3,000 deals, representing 56.95 per cent and 21.77 per cent of the total equity turnover volume and value respectively.

    Also traded during the week were a total of 1.20 million units of Exchange Traded Products (ETPs) valued at N6.95 million in 10 deals, compared with a total of 32,189 units valued at N1.3 million traded in 19 deals penultimate week.

    In the sovereign debt market, a total of 14,779 units of Federal Government Bonds valued at N14.05 million were traded in 18 deals compared with a total of 16,268 units valued at N17.05 million traded in 28 deals. two weeks ago.

    On the upside, Linkage Assurance led the contrarian stocks with a gain of 25 per cent to close at 85 kobo. Caverton Offshore Support Group followed with a gain of 21 per cent to close at N3. Prestige Assurance rose by 16.7 per cent to close at 56 kobo. Unity Bank rallied by 10.24 per cent to N1.83 while Trans-Nationwide Express appreciated by 9.9 per cent to close at 89 kobo per share.

  • Equities slip further with N138b loss

    NIgerian equities declined for the second consecutive trading session yesterday as investors stepped up profit-taking transactions amidst concerns that global equities slowdown may negatively impact the domestic equities market. Most advanced and emerging global markets have witnessed contractions in recent days.

    With nearly three losers for every gainer, the benchmark index at the Nigerian Stock Exchange (NSE) showed average decline of 0.87 per cent yesterday, equivalent to net capital loss of N138 billion. Nigerian equities had lost N135 billion on Monday.

    The sustained decline moderated the average year-to-date return to 14.73 per cent, which also reflected the market-wide decline in returns across sectors.

    Aggregate market value of all quoted equities at the Exchange declined from its opening value of N15.884 trillion to close at N15.746 trillion. The All Share Index (ASI)-the benchmark index that tracks share prices at the stock market, also slipped from its opening index of 44,261.72 points to close at 43,877.30 points.

    All sectoral indices also closed negative with the NSE Banking Index leading the contraction with a loss of 2.1 per cent. The NSE Industrial Goods Index dropped by 1.0 per cent. The NSE Insurance Index declined by 0.5 per cent. The NSE Oil & Gas Index dropped by 0.4 per cent while the NSE Consumer Goods Index slipped by 0.3 per cent.

    11 Plc, formerly Mobil Oil Nigeria led the losers with a loss of N6 to close at N210. Unilever Nigeria followed with a drop of N2.10 to close at N45.35. Flour Mills of Nigeria declined by N1.60 to close at N32.40. Zenith Bank lost N1.45 to close at N31.20. Julius Berger Nigeria dropped by N1.35 to close at N27.30 while Lafarge Africa lost NN1.10 to close at N51.90 per share.

    On the positive side, Dangote Sugar Refinery and Stanbic IBTC Holdings led the gainers with a gain of N1 each to close at N22 and N47 respectively. PZ Cussons Nigeria added 35 kobo to close at N24. Red Star Express gathered 25 kobo to close at N5.75. Eterna rose by 20 kobo to close at N5.88 per share while Fidson Healthcare rose by 19 kobo to close at N4.90.

    Total turnover stood at 717.15 million shares valued at N4.91 billion in 6,720 deals. Lasaco Assurance was the most active stock with 182.76 million shares valued at N59 million. FCMB Group followed with a turnover of 90.49 million shares worth N258.56 million while Skye Bank placed third 80 million shares worth N101.96 million.

    “Following sustained sell offs across global equity markets, we anticipate a further decline in the local bourse in trading sessions ahead. As a result, we envisage possible bargain opportunities for investors ahead of the full year earnings season,” Afrinvest Securities stated.

    Analysts at FSDH Securities noted that the “current decline in prices is expected to be temporary and will present bargain hunting opportunities in stocks with good fundamentals ahead of corporate earnings season”.

  • CSCS unveils new growth plan

    The Central Securities Clearing System (CSCS) Plc-the clearing and depository agent at the Nigerian capital market, yesterday unveiled its three-year strategic plan aimed at improving the company’s efficiency, reliability and profitability over the years.

    At a ceremony for the launch of the three-year plan, Managing Director, Central Securities Clearing System (CSCS) Plc, Mr. Haruna Jalo-Waziri, said the new growth plan, which covers 2018 to 2020, would help to keep the company in focus as it provides a clear direction of where it is headed.

    He said the transformative strategy was predicated upon five strategic pillars which included focused on technology, customer satisfaction, processes optimization, partnership through strategic alliances, and revenue growth.

    “Based on our culture of continuous improvement, the technology pillar will focus on necessary technological improvements to ensure that the company delivers on its corporate goals and is proactive in embracing new and disruptive technologies, optimizing the use of innovative technology, instituting Straight Through Processes (STP) across all touch points and establishing e-learning platform,” Jalo-Waziri said.

    He added that the company will leverage innovative technology in skilling and re-skilling human resources for optimum service delivery.

    According to him, with the customer satisfaction pillar, CSCS will become truly customer-centric and boost commercial excellence by achieving a minimum of 80 per cent customer satisfaction with 20 per cent minimum of new and existing customer activities on all touch points, ensuring seamless relationship with all stakeholders and preventing dissatisfaction of customers, as well as setting up customer call centre to attend to the needs of CSCS’ teeming customers.

    He outlined that the company will optimize enterprise process performance by achieving 80 per cent process automation, A+ Thomas Murray rating, and maintaining its ISO 270001 Standard Information Security.

    He pointed out that under its strategic pillar of alliances across businesses and regions, CSCS will expand the capital market ecosystem by partnering with policy makers, building relationships with regulators, actualise CSCS’ Self-Regulatory Organization (SRO) responsibility, and create feedback mechanism to all stakeholders that will enable quick resolution of any query that may occur in the course of doing business.

    On the fifth pillar of revenue growth, Jalo-Waziri said CSCS is not only into clearing and settlement but has developed other products that will bring about more efficiency and a robust capital market.

    He said CSCS has developed electronic storage system that makes market participants to be more efficient. Other products developed by the company are the Electronic General Meeting (eGEM), Insurance Repository and Pension Contribution Management System amongst others.

    “We will also perform holistic enterprise architecture in order to ensure we connect our operations and bring about speed in our service delivery,” Jalo-Waziri said.

    He noted that based on its previous two-year strategic plan from 2016 to 2017, CSCS recorded some milestones such as the signing of a Memorandum of Understanding (MoU) with Strate (South Africa) and Central Depository and Settlement Corporation Limited (CDSC Kenya), achievement of Thomas Murray “A” rating (from “A-”), full dematerialization of share certificates, the co-sponsoring of Centre Counter party (CCP) platform with other stakeholders and recently, the deployment of the state of the art new central securities depository clearing and settlement platform.

    He urged all stakeholders to support the company noting that without action and support from both internal and external stakeholders, the transformative plan may achieve little or no result.

  • Investors shift to penny stocks as equities open negative

    Low-priced stocks, otherwise known as penny stocks, dominated the top chart at the Nigerian Stock Exchange (NSE) as the equities market reopened yesterday to a streak of profit-taking. Low-priced stocks in the banking, insurance and conglomerate sectors topped activities’ chart as investors appeared to be shifting to low-priced value stocks with prospects of good dividend yields.

    With profit-taking transactions on many large-cap stocks, the overall market position closed negative with average day-on-day return of -0.85 per cent, equivalent to net capital loss of N135 billion. Average year-to-date return consequently moderated to 15.74 per cent.

    Aggregate market value of all quoted equities at the NSE dropped from its opening value of N16.019 trillion to close at N15.884 trillion. The All Share Index (ASI)-the benchmark index for the stock market, declined from its opening index of 44,639.99 points to close at 44,261.72 points.

    With 34 losers to 22 gainers, most sectoral indices also closed negative. The NSE Industrial Goods Index declined by 1.3 per cent. The NSE Oil & Gas Index dropped by 1.3 per cent while the NSE Consumer Goods Index depreciated by 0.7 per cent. On the upside, the NSE Insurance Index appreciated by 1.6 per cent while the NSE Banking Index rose by 1.4 per cent.

    Total turnover stood at 426.8 million shares valued at N2.8 billion, with low-priced stocks making up about 80 per cent of the top activities’ chart. FCMB Group was the most active stock with a turnover of 101.5 million shares valued at N303.32 million. Skye Bank followed with a turnover of 48.34 million shares worth N66.37 million while Diamond Bank ranked third with a turnover of 31.54 million shares valued at N100.21 million.

    “Despite the negative performance today, our near-term outlook on performance remains positive as investors continue to seek for bargain opportunities in anticipation of full year earnings releases,” Afrinvest Securities stated.

    Dangote Cement-the most capitalised quoted company, led the losers with a loss of N8 to close at N270. Forte Oil followed with a drop of N2.40 to close at N46.05. Julius Berger Nigeria dropped by N1.35 to close at N28.65. Lafarge Africa lost N1 to close at N53 while Cadbury Nigeria and Nascon Allied Industries dropped by 50 kobo each to close at N15.50 and N21 respectively.

    On the positive side, Bet Glass led the gainers with a gain of N3.10 to close at N65.45. Zenith Bank followed with a gain of 70 kobo to close at N32.65. PZ Cussons Nigeria added 55 kobo to close at N23.65. Nigerian Breweries rose by 50 kobo to close at N145 while Dangote Sugar Refinery chalked up 35 kobo to close at N21 per share.

    “Our theme for equities remains positive, amidst strengthening macroeconomic fundamentals; more so, as investors take position ahead of fourth quarter 2017 corporate releases,” Cordros Capital stated in a post-trading note to investors.

     

  • Cordros Capital predicts better returns for equities in 2018

    Nigeria’s macroeconomic outlook is more favourable to continuing rally at the equities market, Cordros Capital has said.

    Presenting its special outlook report tagged “Nigeria in 2018: Looking Beyond the Surface, Cordros Capital yesterday outlined a positive outlook for the Nigerian economy and the equities market, noting that average return at the equities market could range between a modest return of between 10 and 15 per cent and a bullish performance as high as 40 per cent.

    Managing Director, Cordros Capital, Mr. Wale Agbeyangi, said Cordros Capital as one of the top stockbroking firms at the Nigerian stock market is committed to providing investors with value-added services that enable them to make informed decisions.

    He noted that the special report was part of the research and investment advisory function of the company adding that the company will also organise a special forum to engage investors and stakeholders on the underlying issues in the Nigerian economy and the capital market.

    Head, Research and Strategy, Mr. Christian Orajekwe, who spoke extensively on the special report, noted that Nigeria’s economic outlook is promising with continued favourable financing condition, strong consumer sentiment that will help maintain consumption demand and business investments  and favourable commodities prices.

    “Compared to the last two years, Nigeria’s macro outlook is more favourable to equities,”  Orajekwe said.

    According to him, with the strong start so far this year and significantly favourable macroeconomic and political backdrop, strong corporate earnings growth ease valuation concerns, strong portfolio inflows to record high level, merger and acquisition activities and strong moderation of fixed income and treasury yield, Nigerian equities could record average full-year return of more than 40 per cent.

    He however noted that with due consideration for the downside risk, the equities market could deliver a more probable return of between 10 to 15 per cent. This assumption rests on the bullish start for the year, moderate improvement in the macro environment, stable to modest corporate earnings growth, modest improvement in portfolio inflows over 2017, marginal moderation of fixed income and treasury yields and modest election concerns.

    “Back-to-back gain of more than 80 per cent total is not a new phenomenon. Bull markets do not die of old age,” Orajekwe said.

    Head, Investment Banking, Cordros Capital, Mr. Femi Ademola, urged investors to cherry-pick stocks, and hold 2017 position and watch out for fourth quarter earnings for 2017 and first quarter earnings for 2018 to determine the earnings direction for quoted companies.

    “Small-cap companies will benefit from stronger recovery of economic activities, election-related spending, passage of the minimum wage bill into law, and improvement in public sector revenue while raw materials intensive companies are to benefit from the stability of the naira,” Ademola said.

    He added that highly-geared companies will also benefit from the expected moderation of interest rates while cement companies are expected to benefit from the expected improvement in public sector construction activities.

     

  • Africa Prudential launches personalised registrar for shareholders

    Africa Prudential Plc, Nigeria’s leading share registration and investors services company, yesterday launched its new USSD code that enables shareholders to perform several tasks on their phones.

    The USSD code- *4018#, which was unveiled in Lagos yesterday enables shareholders to perform multitude of tasks including checking their outstanding dividend, shareholding balance, confirming bank mandate right from their mobile phones from the comfort of their homes, work places or leisure.

    With the code, otherwise known as “Personal Registrar”, shareholders can also check postal and email addresses from their mobile phones.

    Managing Director, Africa Prudential Plc, Mr. Peter Ashade, said the new service is available round the clock and works on all kinds of mobile phones and networks.

    He noted that the service does not require internet data as shareholders only need to dial the code to access the service environment.

    He pointed out that the “Personal Registrar” was developed by the company in its drive to persistently pursue exceptional service experience in line with its avowed commitment to culture of excellence and persistent drive to improving investors’ confidence in the market.

    “We continuously embark on product development and process improvement to deliver exceptional customer experience to our clients across sectors of the economy, while exciting the Nigerian capital market as a whole,” Ashade said.

    Head, Business Development, Africa Prudential Plc, Mrs. Bridget Bayo-Ajayi who also addressed key capital market stakeholders at the event,  encouraged shareholders whose mobile numbers have not been duly registered on the company’s database to execute a shareholder data update form for their mobile numbers to enjoy the service.

    Representing shareholders at the event, Mrs. Bisi Bakare of Pragmatic Shareholders Association, lauded Africa Prudential for putting shareholders convenience first by launching the first-of-its-kind product in registrars business.

    It would be recalled, among others that the company was named the Best Registrar Firm in West Africa by Africa-Canada Trade Alliance at the 7th Edition of the West Africa Innovation and Excellence Awards in 2017 in recognition of outstanding innovations and advocacy role in the capital market.

     

  • Capital Bancorp predicts 25% return for equities in 2018

    Nigerian equities have potential to sustain their rally and deliver average return of some 25 per cent in 2018 as improving macroeconomic performance will continue to impact positively on the capital market.

    Capital Bancorp Plc yesterday formally released a special 70-page report tagged “Economic Review and Outlook For 2018”, outlining an overall positive outlook for the Nigerian economy and the capital market.

    Against the background of the average return of 42.3 per cent and ranking of Nigerian equities as one of the best performing markets globally, Capital Bancorp noted that several performance boosters could see Nigerian equities ending the year with average return of 25 per cent.

    Managing Director, Capital Bancorp Plc, Mr Higo Aigboje said there were ample opportunities in many sectors of the economy including banking, consumer goods, industrial goods, agriculture and oil and gas sectors.

    According to him, the performance boosters for the Nigerian stock market in 2018 include stability of oil prices, effective management and improved liquidity of the foreign exchange market, improvement on the corporate earnings, significant focus on the non-oil sector to increase output and lower interest rate regime.

    “Effective synergy in the use of fiscal and monetary policies, government’s focus on the real sector of the economy, improved market participation by local investors and domestic institutional investors and efficient regulation of the market by the Securities and Exchange Commission (SEC) and the  Nigerian Stock Exchange will support the market growth,” Aigboje said.

    He added that the passage of Petroleum Industry Bill, unbundling of Nigerian National Petroleum Corporation and listing of resultant companies and deliberate efforts aimed at encouraging more listing on the Exchange will boost market performance.

    Aigboje, however, cautioned that issues such as sudden rise in  insecurity can trigger exit of the Foreign Portfolio Investors (FPI), political instability owing to forthcoming general elections, sudden reversal in oil prices, an upturn in the yields of fixed income securities and failure in the banking sector which may trigger a sell-off and cause further damage to the entire stock market.

    He noted that the review of the global and Nigeria’s financial markets was designed to serve as a compass for both indigenous and foreign investors as well as potential investors.

    By the Review’s Executive Summary which was presented by the company’s  Chief Analyst, Mr Victor Chiazor, Capital Bancorp has forecast that the global economic growth would hit 3.5 per cent this year as against 3.1 per cent last year.

     

    “ With ample opportunities in some stocks in the Banking Sector and Consumer Goods Sector of the equities market , we have projected a 25 percent return for the Nigerian Stock Market in 2018, though downward risks to achieving this target remain visible,” Chiazor said.

    Speaking on Bancorp e-Trade, Aigboje noted that it was a high-technological innovation aimed at promoting financial inclusion in Nigeria.

    According to him, the product allows an investor to trade online in the stock market and it is being upgraded for additional uses.

    “Capital Bancorp has been in operation in the last 30 years with proven integrity, tested professionals with rich industry experience, innovative and customer-focused, robust researched base and good standing with our regulators. These are some of the underlying principles embedded in our visio, mission and core values,” Aigboje said.

    He urged the investing and general public to take advantage of the company’s 70-page Economic Review and Outlook For 2018  for hands-on knowledge of the investment guide for the Nigerian capital market this year.

  • America interested in Nigerian economic growth, says envoy

    The United States of America (USA) has reiterated its commitment to continue working with Nigeria towards building a strong private sector and achieving economic growth through bilateral partnership.

    The Consul General of the US Consulate in Lagos, Mr John Bray, said America had never lost confidence in Nigerian stock market, noting that Nigerian Stock Exchange (NSE) remained a key institution in facilitating private capital in the local market for business expansion and new business start-ups.

    The envoy made the remark yesterday when Bray paid a familiarisation visit to the NSE, during which he was accorded the honour of beating the closing gong to mark the end of trading at the stock market.

    Bray said the US government’s interest was to see Nigerian economy grow faster in order to create jobs and business opportunities for the growing population. Without capital investment, the envoy said the needed economic growth may not be achieved against the backdrop of increasing population.

    “It is our concern and interest for the Nigeria economy to grow. We have had population projection for Nigeria, which says that the country would be the third most populous country in the world by 2050. Without capital investment and good plans for economic growth to cater for this population expansion, there is not going to be jobs and prosperity anywhere.

    “This is a clear message that the United States – both the government and the private sector – is committed to supporting Nigeria as it continues to find new avenues of economic growth and development. The more Nigerian economy grows, the better it is for both Nigerian and American businesses. Open and transparent financial exchanges are an example of a society’s broader commitment to the rule of law and sanctity of contracts,” Bray said.

    He acknowledged NSE’s progress in the previous, saying the Nigerian stock market was ranked amongst the top five performers in 2017. The projections, he said, indicated 2018 would be an equally successful year.

    He noted that the US government maintained a limited number of Bi-National Commission (BNC) relationships with nations to demonstrate a high degree of friendship, trust and cooperation. Nigeria, he said, is one of the nations with which the U.S. maintained BNC, because it is one of America’s most important partners in Africa.

    According to him, there were BNC meetings in Abuja last November, where the Deputy Secretary of State, John Sullivan, pledged the US commitment to expanding cooperation with Nigeria as both countries look to the future. Also, during the period, the US Department of Commerce and the Minister of Industry Trade and Investment, formalised the US–Nigeria Commercial and Investment Dialogue that will help to develop stronger business networks between our countries and help frame subsequent discussions under our Trade and Investment Framework Agreement, to be led by the Office of the US Trade Representative.

    In his remarks, Chief Executive Officer, Nigerian Stock Exchange (NSE), Mr Oscar Onyema, said the visit by the American envoy to the stock market demonstrated the commitment of the US to its partnership with Nigerian private sector.

    Earlier, there was a closed door meeting between the NSE leadership and the Consulate’s delegation. Onyema said discussions during the meeting focused on how the US would help Nigeria to develop its capital market and quoted companies among others.

    Other members of the US Consulate’s delegation included Public Affairs Officer, Ms Darcy Zotter and Head of the Consulate Political and Economic Section, Mr Tat Osman, among others.

  • Equities rally N191b gains in opening trades

    Nigerian equities reopened yesterday on a bullish note as investors responded positively to impending release of corporate earnings and dividend recommendations by major quoted companies. The board of directors of United Bank for Africa (UBA) Plc met yesterday and approved the audited reports and dividend payment for the year ended December 31, 2017.

    With More than three gainers to every loser, equities rallied average return of 1.22 per cent, equivalent to net capital gain of N191 billion. The sustained rally nudged the average year-to-date return to 15.85 per cent.

    The All Share Index (ASI)-the value-based benchmark index that tracks share prices at the Nigerian Stock Exchange (NSE) rose from its opening index of 43,773.76 points to close at 44,306.48 points. Aggregate market value of all quoted equities also rose from its opening value of N15.692 trillion to close at N15.883 trillion.

    Most sectoral indices closed positive, underlining the widespread bargain-hunting that dominated transactions yesterday. The NSE Industrial Goods Index led the gainers with a gain of 1.7 per cent. The NSE Banking Index followed with a gain of 0.9 per cent. The NSE Insurance Index rose by 0.6 per cent while the NSE Oil & Gas Index appreciated by 0.3 per cent. However, the NSE Consumer Goods Index was the only contrarian index with a drop of 0.7 per cent.

    There were 46 gainers against 15 losers. Dangote Cement- NSE’s most capitalised stock, led the gainers with a gain of N7.94 to close at N268. Stanbic IBTC Holdings followed with a gain of N1 to close at N45. Forte Oil and UAC of Nigeria rose by 60 kobo each to close at N50 and N17.60. Eterna added 43 kobo to close at N5.89. FBN Holdings rose by 37 kobo to close at N14 while Lafarge Africa and Union Bank of Nigeria gathered 35 kobo each to close at N52.35 and N8.10 respectively.

    Total turnover stood at 573.35 million shares valued at N5.88 billion in 6,756 deals. FCMB Group was the most active stock with a turnover of 169.12 million shares valued at N547.03 million. Access Bank followed with a turnover of 42.53 million shares worth N553.48 million while United Bank for Africa (UBA) placed third with 39.52 million shares worth N513.68 million.

    On the downside, Guinness Nigeria led the losers with a loss of N2 to close at N110. Nigerian Breweries followed with a drop of N1.75 to close at N150. Dangote Sugar Refinery declined by N1.01 to close at N20.95. Flour Mills of Nigeria dropped by 52 kobo to close at N30.90 while Guaranty Trust bank slipped by 30 kobo to close at N48.70 per share.

    “The market gradually recovered from the oversold region with bargain hunting by investors particularly in stocks that declined in prior sessions. Bargain hunting by investors will drive market performance in coming sessions in anticipation of 2017 earnings seasons,” FSDH Securities stated.