The Nation Newspaper

Tag: NSE

  • 14-year -old wins NSE’s N2m award

    A 14-year old pupil of Babington Macauley Junior Seminary, Ikorodu, Lagos State, Miss Ifeoluwa Abiodun emerged the winner of the 2016 edition of the Nigerian Stock Exchange (NSE)’s Essay Competition for Senior Secondary Schools students in Nigeria, carting away cash, shares and computers valued at about N2 million.

    Abiodun won the first position ahead of over 7,400 participants across the country. At the award ceremony in Lagos, she received N500,000 in scholarship fund for university education, N250,000 worth of equity investment and a laptop. Her school was also rewarded with three desktop computers and a printer.

    Also, Udeaja Nneoma of Sacred Hearts College, Apapa, Lagos and Gbenjo Olasubomi Victoria of Good Shepherd Schools, Meiran, Lagos emerged first and second runner-ups respectively. The three students were also honoured with the privilege of beating the gong to close the stock market.

    Chief executive officer, Nigerian Stock Exchange (NSE), Mr. Oscar Onyema, said the NSE Essay Competition is one of Exchange’s financial literacy and inclusion initiatives aimed at bridging the gap between classroom learning and practical knowledge required for long-term personal financial planning.

    He said the competition serves as an essential platform to get the perspectives of the young ones on key challenges relating to financial literacy and inclusion in Nigeria with a view to developing a culture of wealth creation among the youth.

    He noted that the Exchange has implemented and supported a number of programmes in line with the National Financial Literacy Framework (NFLF), which contribute to raising the level of financial literacy in Nigeria.

    “Improving financial literacy is at the core of what we do at the NSE because we recognize that the ability to make well-informed financial decisions plays an important part in the capacity of individuals to manage financial matters well, a factor that can have either a negative or positive ripple effect on the economy,” Onyema said.

  • Nigerian equity market drops further by 0.35%

    Nigerian equity market drops further by 0.35%

    Transactions resumed on the Nigerian Stock Exchange (NSE) on Monday still on a negative posture with the market indices sliding by 0.35 per cent due to poor liquidity.

    The market capitalisation downgraded by N33 billion to close at N9.255 trillion in contrast with N9.288 trillion achieved on Friday.

    Similarly, the All-Share Index which opened at 26,981.60 shed 94.06 points or 0.35 per cent to close at 26,887.54.

    Market analysts attributed the persistent downward trend in the market to poor liquidity and uncertainties in the economy.

    They stated that persistent profit taking by investors to address pressing needs and exit of foreign investors in the market contributed to the development.

    NAN reports that Unilever recorded the highest price loss to lead the losers’ chart, dropping by N1.50 to close at N48.50 per share.

    CAP trailed with a loss of N1.35 to close at N32.40 and Guaranty Trust Bank shed 71k to close at N21.86 per share.

    CCNN was down by 29k to close at N4.94, while Mansard Insurance depreciated by 9k to close at N1.89 per share.

    Conversely, Guinness topped the gainers’ table, growing by N2 to close at N86 per share.

    Eterna followed with a gain of 29k to close at N3.22 and Air Service appreciated by 12k to close at N2.66 per share.

    Ikeja Hotel improved by 8k to close at N1.78, while Livestock advanced by 6k to close at 79k per share.

    NAN also reports that analysis of the activity chart indicated that United Bank for Africa emerged the most active in volume terms, having accounted for 21.49 million shares worth N91.71 million.

    It was followed by GT Bank with an exchange of 17.75 million shares valued at N393.25 million and Zenith International Bank sold 11.72 million shares worth N173.49 million.

    FBN Holdings exchanged 10.53 million shares valued at N31.92 million, while FCMB Group sold 9.70 million shares worth N10.63 million.

    In all, investors staked N1.16 billion on 115.04 million shares transacted in 2,963 deals against 151.85 million shares worth N1.21 billion achieved in 2,902 deals on Friday.

  • Bearish trading at NSE, index drops

    Bearish trading at NSE, index drops

    It was a mixed grill as bears took over trading at the Nigerian Stock Exchange on Friday, depressing the All Share Index and market capitalisation.

    The major positive was in the volume of shares traded. It grew  by 34.95 per cent, as investors staked N1.21 billion on 151.85 million shares transacted in 2,902 deals.

    The News Agency of Nigeria (NAN) reports that this was in contrast with the volume  of 112.52 million shares valued at N2.36 billion traded in 2,684 deals on Thursday.

    The All-Share Index shed 62.76 points or 0.23 per cent to close  lower at 26,981.60 compared with 27,044.36 recorded on Thursday.

    Also, the market capitalisation lost N1 billion  to close at N9.288 trillion against N9.289 trillion posted on Thursday.

    Sterling Bank emerged the most traded stock, accounting for 33.67 million shares worth N27.62 million.

    It was trailed by Zenith Bank with an exchange of 24.21 million shares valued at N359.41 million.  FBN Holdings traded 20.23 million shares worth N61.70 million.

    UBA sold 18.74 million shares valued at N80.49 million. Access Bank posted a turnover of 9.58 million shares worth N53.71 million.

    NAN also reports that major blue chips posted price losses with Seplat leading the losers’ table having lost N19 to close at N361 per share.

    Total came second with a loss of N16.62 to close at N315.88, while Guaranty Trust Bank shed 93k to close at N22.57 per share.

    Nigerian Breweries was down by 86k to close at N142 and Zenith Bank declined by 30k to close at N14.80 per share.

    On the other hand, Nestle led the gainers’ table with a gain of N19.96 to close at N814.94 per share.

    Larfarge Africa garnered N5.08 to close at N54.88 and Flour Mill increased by 70k to close at N19.70 per share.

    Air Service rose by 20k to close at N2.54, while AfriPrudential Registrar advanced by 12k to close at N2.60 per share. (NAN)

  • NSE: Housing key to ending recession

    For the country to overcome its present economic problem, there is  need for a strong and viable housing sector. Based on this conviction, the Nigerian Society of Engineers (NSE) has urged the Federal Government to pay more attention to the housing industry, given its potentials and capacity to help in revamping the economy.

    The President, NSE, Mr. Otis Anyaeji, made this known at a World Press Conference held by the body in Abuja, recently.

    According to him, trends in developed countries have buttressed the argument that a nation cannot be or remain in recession if the housing sector remains strong. This, he explained, is because the housing industry has a powerful multiplier effect on the rest of the economy like steel, wood, cement, paint, aluminium, glass, plastics, cables, piping, sand, quarry stones, roofing sheets, electricity, water, etc, and the gains are best maximised if these products are manufactured locally. He also urged government to reject the option of developing housing through continued importation of materials, but rather insist on local manufacturing.

    Reacting to series of building collapse in the country, Anyaeji disclosed that soil investigation and complying with test results from the exercise, was a major parameter in preventing failure of engineering facilities like roads, buildings, bridges, etc. He faulted the National Building Code for not paying much attention to this aspect of construction.

    “Given the frequency of building collapse in Nigeria, the government needs to support getting soil investigation done on every engineered land improvement project and ensure that standards are adhered to strictly across all facets of construction activities,” Anyaeji said.

    The NSE President also charged President Muhammadu Buhari to recognise that the next two and half years have to be a revolutionary period in government and also business. He said the President has to believe in, and tap into the capacity of Nigerians and Nigeria for rebirth and renewal as already witnessed in the entertainment, communications, banking and other industries.

    While urging the government to focus attention on manufacturing, the housing sector, transportation, petrochemicals as well as the textile industry, the body also stated that for the sake of performance and quality service delivery, President Buhari should constitute his cabinet with 60 per cent technocrats and 40 per cent politicians.

    “Engineers strongly recommend to the President to depoliticise the selection process and demystify the Senate screening exercise by attaching portfolios to those nominated for ministerial appointments before screening,” Anyaeji said.

  • Data intelligence will enhance investment returns, says NSE

    Deep understanding and analysis of market data at the Nigerian Stock Exchange (NSE) would enhance investment decisions and returns to savvy investors.

    This was the thematic conclusion yesterday at the inaugural market data workshop organised by the NSE in collaboration with Bloomberg and other information and communication technology firms.

    Chief executive officer, Nigerian Stock Exchange (NSE), Mr Oscar Onyema, said market data provides cushion to investors against market shocks and enable them to invest profitably irrespective of the market cycles.

    According to him, domestic and foreign investors require an elevated level of insight in order to discern between great investments and lame investments, especially during a challenging down cycle.

    He noted that the market data workshop was designed specifically to provide capital market participants with sufficient knowledge about exploiting NSE market data for smart investment decisions.

    He outlined that pre and post trade-related data for the financial instruments traded on the NSE informs traders, investors, media and others in the market on the quotations, latest price, and historical trends for the equities, fixed-income, and Exchange Traded Fund (ETF) products that are traded on the NSE.

    “This information is not only used in real time to make instantaneous buy and sell decisions, but the historical market data is used to make price projections, as well as calculate market risk on investment portfolios,” Onyema said.

    He pointed out that the capital market remains the marketplace for competitive returns in spite of the tough macroeconomic conditions.

    “In spite of the challenging economic conditions we are experiencing in Nigeria, the capital market still remains one of the main vehicles for economic development and wealth creation. The NSE Premium Board has returned 11.3 per cent year-to-date as at 17th October 2016.  The level of private sector time deposits has declined by 14.4 per cent to N3.8 trillion over the last one year (Sep ’15 to Aug ’16), while private sector savings deposits have increased by 19.0 per cent to N3.5 trillion. The average interest rate on these savings and time deposits are 3.6 per cent and 5.9 per cent respectively,” Onyema said.

  • SEC, NSE scrutinise Ibru’s Ikeja Hotel’s investigative report

    SEC, NSE scrutinise Ibru’s Ikeja Hotel’s investigative report

    Nigeria’s capital market regulator, Securities and Exchange Commission (SEC), is scrutinising the investigative report on the boardroom crisis at Ikeja Hotel Plc.

    This is coming after the simmering ownership and management crisis within the Ibru’s family snowballed into a major onslaught by the Economic and Financial Crimes Commission (EFCC) last week.

    Reliable capital market sources at the weekend said the market regulators had dusted the reports on Ikeja Hotel to review the facts and proactively act to protect shareholders’interests.

    A source at SEC said the apex capital market regulator had received a comprehensive report from the Nigerian Stock Exchange (NSE), where Ikeja Hotel is quoted, and the Commission had started reviewing the report in line with the market’s complaint management framework.

    Ikeja Hotel, incorporated in 1972 and quoted on the NSE in 2007, controls a chain of hotels directly and through other subsidiaries and affiliates, including Tourist Company of Nigeria (TCN) Plc and Capital Hotel Plc.

    Ikeja Hotel owns Sheraton Hotel, Ikeja, Lagos. TCN owns Federal Palace Hotel while Capital Hotel owns Abuja Sheraton Hotel. The Ibru family owns the single largest individual shareholding.

    The EFCC last Wednesday declared Mr. Goodie Ibru, who chairs the chain of hotels, wanted alleging capital market fraud, stealing and money laundering, among others. The family of Mr.  Ibru immediately responded accusing EFCC of bias and mischief, stating that the public notice declaring Goodie Ibru wanted as scandalous, misleading and unfortunate.

    The Ibru family had ran the hotel chain without any notable wrangling until the demise of Olorogun Michael Ibru, which opened up family feud that has continued to haunt the hotel chain. While Goodie Ibru chaired the hotel chain, Olorogun Michael Ibru and other family members were on the board of Ikeja Hotel Plc.

    In earlier response to the attempt to oust him as chairman, Goodie Ibru had dismissed earlier claims of corporate abuses, noting that those opposed to him had rather ganged up to frustrate attempts to recapitalise the company. Goodie Ibru’s family in the counter-notice to the EFCC notice, reiterated his position that the Ikeja Hotel crisis “centres on family misunderstanding and boardroom politics.”

    Another capital market source said the investigations by capital market authorities would lay bare the core issues surrounding the Ikeja Hotel crisis, noting that by virtue of the Investment and Securities Act (ISA) and inherent expertise required, SEC and the NSE have the primary responsibility to determine capital market offences.

    The source said the decision of EFCC to launch an investigation into athe boardroom issue of a quoted company without going through the SEC and NSE bypassed the due process, adding that such sensitive information could hurt the interest of the shareholders which such investigation seeks to protect.

  • NSE gives 142 companies Oct. 31 deadline on earnings report

    NSE gives 142 companies Oct. 31 deadline on earnings report

    Atotal of 142 companies are expected to submit their third quarter (Q3)  earnings report in the next 16 working days,  according to the Nigerian Stock Exchange’s (NSE’s) filing regulation.

    This is necessary to avoid  the poor corporate governance tag and sanction of the NSE.

    The filing calendar of the NSE obtained at the weekend indicated that most of the quoted companies are  required to submit their nine-month earnings report   on October 31, this year.

    The Nation’s investigation at the weekend showed that  of the 144 companies that are expected to submit their reports, only two have  done so. The early filers were United Capital Limited and Infinity Trust Mortgage Bank Plc.

    Post-listing rules at the NSE require quoted companies to submit their audited earnings reports, not later than three months after the expiration of the period.They also require quoted companies to submit interim report not later than 30 days after the end of the  period.

    Most quoted companies, including banks, major manufacturers, oil and gas companies, breweries and cement companies use the 12-month Gregorian calendar year as their business year. The business year thus terminates on December 31. While March 31 is usually the deadline for submission of yearly report for companies with Gregorian calendar business year, the deadline for the quarterly report is a month after the quarter.

    The regulatory filing calendar indicated that Monday, October 31 would be the deadline for the results for the Q3 ended September 30, this year. NSE  fines companies that fail to meet reports’ deadline.

    Sources at the weekend said there would be increased inflow of Q3 earnings reports in the next two weeks, citing the previous compliance record of more than 85 per cent.

    The sources added that several companies could finalise their Q3 reports this week while the rate of submission might pick up by the weekend.

    Companies that are expected to submit their reports in the 16 working days include Julius Berger Nigeria, Lafarge Africa, Lasaco Assurance, Law Union and Rock Insurance, Learn Africa, Linkage Assurance, Livestock Feeds, Mansard Insurance, May & Baker Nigeria, Mcnichols, Mobil Oil Nigeria, Morison Industries, Mrs Oil, Mtech Communications and MTI.

    Others are Multiverse Resources, Mutual Benefit Assurance, National Salt Company Nigeria, NCR, NEM Insurance Company, Nestle Nigeria, Niger Insurance Company, Nigeria Sewing Machine Manufacturing Compan, Nigerian Aviation Handling Company, Nigerian Breweries, Nigerian Ropes, Nigerian Wire & Cable, NPF Microfinance Bank, Oando, Okomu Oil Palm, Omatek Ventures.

    Omoluabi Savings and Loans, Paints and Coatings Manufacturing, Pharma Deko, Portland Paint & Product, Premier Paints, Presco, Prestige Assurance Company, RT Briscoe, Regency Alliance Insurance, Resort Savings & Loans and Rokana Industries are also expected to same.

    While Royal Exchange, SCOA Nigeria, Secure Electronic Technologies, Seplat Petroleum Development Co Ltd, Skye Bank, Smart Products Nigeria, Sovereign Trust Insurance, Staco,  Stanbic IBTC Holdings, Standard Alliance, Sterling Bank, Stokvis Nigeria, Studio Press, Tantalizers, Total Nigeria, Trans Nationwide Express, Transcorp Hotels, Transnational Corporation of Nigeria, UAC of Nigeria, UACN Property Development, United Bank for Africa, UNIC Insurance, and Unilever Nigeria and many others are expected to do so.

    Union Bank of Nigeria, Union Diagnostic & Clinical Services, Union Dicon Salt, Union Homes Savings & Loans, Union Ventures &Petroleum, Navitus Energy, Unity Bank, Unity Kapital Assurance, Universal Insurance Company, UTC Nigeria, Wema Bank, West Africa Glass Industries and Zenith Bank.

    Others included AG Leventis Nigeria, Abbey Mortgage Bank, Africa Prudential Registrar, African Alliance Insurance, African Paints , Afrik Pharmaceuticals ,Aiico Insurance ,Airline Services & Logistics, ,Alumaco ,Aluminium Extrusion Nigeria,  Anino International ,Arbico , Ashaka Cement , Aso Savings & Loans, Associated Bus Company, Austin Laz & Company ,B.O.C. Gases , Beco Petroleum Product, Beta Glass Company, C &I Leasing, Cadbury Nigeria, CAP, Capital Hotel, Capital Oil, Caverton Offshore Support Group Grp, Cement Company of Northern Nigeria ,Champion Breweries ,Chams ,Computer Warehouse Group, Conoil, Consolidated Hallmark Insurance, Continental Reinsurance, Cornerstone Insurance, Courteville Business Solutions ,Custodian and  Allied Insurance, Daar Communications, Dangote Cement, Dangote Sugar, Diamond Bank, DN Meyer, Ecobank Transnational Incorporated, Ekocorp ,Equity Assurance, Eterna Oil & Gas ,Evans Medical, FBN Holdings, FCMB Group, Fidelity Bank, First Aluminium Nigeria, Forte Oil, Fortis Microfinance Bank, FTN Cocoa Processors ,GlaxoSmithKline Nigeria, Goldlink Insurance, Great Nigeria Insurance, Guaranty Trust Bank, Guinea Insurance, Ikeja Hotel , Intercontinental Wapic Insurance, International Energy Insurance, Investment & Allied Assurance, IPWA, Japaul Nigeria , Jos International Breweries and Juli Plc.

     

  • NSE, Bloomberg hold talks with business leaders

    NSE, Bloomberg hold talks with business leaders

    Business leaders and captains of industry will on Wednesday gather at the Nigerian Stock Exchange (NSE) to discuss opportunities and challenges in the Nigerian economy, as part of efforts to stimulate invest.

    The 2nd NSE Bloomberg CEO Roundtable is a collaboration between the NSE and Bloomberg.

    The CEO Roundtable themed “Navigating the Changing Business Landscape in Nigeria”, will bring together thought leaders and captains of industry to share in-depth knowledge about their sectors with capital market players and proffer much needed solutions to economic realities.

    The panel at the event will feature chief executive officers from the financial services, telecommunications, manufacturing and portfolio management sectors as well as renowned economists.

    Some of the confirmed speakers for the event include: Oscar Onyema, chief executive officer (CEO), NSE; Segun Ogunsanya, CEO, Airtel Nigeria; Bolaji Balogun, CEO, Chapel Hill Denham; Mark Bohlund, Senior Economist, Africa and the Middle East, Bloomberg Intelligence and Uk Eke, group managing director, FBN Holdings.

    Onyema, said the CEO Roundtable was in line with the commitment of the Exchange to provide a platform that ensures continuous dialogue to provide practical solutions for companies operating in Nigeria.

    “The headwinds that have befallen the Nigerian economy present an opportunity for businesses to take a step back, access the current situation and plan accordingly. It is expected that this event will critically examine the changes in the business landscape, highlight their impact and propose solutions that will enable businesses thrive and survive in the current environment,” Onyema said.

    Head, market structure strategy, Bloomberg, Selloua Chakri, said Bloomberg was working more closely than ever with key financial institutions and stakeholders in countries like Nigeria to help them grasp opportunities, tackle challenges, and bring more transparency to capital markets.

    “We’re delighted to partner with the NSE again to convene this prestigious group of business leaders for what will no doubt be a fascinating and informative discussion,” Chakri said.

    The event will feature a panel session on the theme and will centre on financing capital projects and the real economy in the current environment, policy measures needed to grow the manufacturing sector’s contribution to the economy and maintaining and attracting foreign investment through the downturn. There will also be a macro-economic review to guide discussions.

  • NSE to sanction 14 firms for earnings’ report default

    NSE to sanction 14 firms for earnings’ report default

    The Nigerian Stock Exchange (NSE) will sanction 14 firms for failing to meet July 31 deadline for the submission of their interim financial and operational reports, it was gathered at the weekend in Lagos.

    Sources at the Exchange said the firms were to submit their first half and second quarters’interim earnings report and accounts by that date.

    NSE’s Post-listing rules  require quoted companies to submit their audited earnings’reports, not later than three months after the expiration of the period. The rules also require quoted companies to submit their interim reports not later than 30 days after the end of the relevant period.

    Most quotedcompanies, including all banks, major manufacturers, oil and gas cement companies use the 12-month Gregorian calendar as their busines year. Their business year thus terminates on December 31. March 31 is the deadline for the submission of the yearly report of companies with Gregorian calendar business year. The deadline for the quarterly report is a month after the quarter.

    The regulatory filing calendar of the NSE indicated that July 31 was the deadline for the results for the period ended June 30, thus the last working day of the period, Friday, July 29, was effectively the deadline.

    Sources at the NSE said there would be no general waiver or extension of the earnings submission deadline besides the specific waiver or extension granted to some companies that had applied for such, noting that the Exchange would impose appropriate sanctions on the companies that defaulted.

    The Exchange confirmed that it would sanction the companies that failed the deadline.

    “The Exchange will enforce the appropriate sanctions in accordance with the Issuers’ Rule 2015 where a listed company fails to apply for an extension or provide a reasonable explanation before the due date,” NSE stated in email response to enquiry by The Nation.

    The NSE indicated that about three-quarters of companies met the deadline. Besides the 14 active companies, there are also about 40 dormant companies under the watch of the Exchange.

    NSE tags and fines companies that fail to meet earnings reports’ deadline. Under the corporate governance and rules compliance assessment report known as X-Compliance Report, NSE identified four various tags or symbols to alert investors about the status of each quoted company. These include below listings standard (BLS), the first degree alert level, indicating a company that has not complied with post listing rules, such as late submission of financial statements, unauthorised publication, and management failures.

    Also, financial services companies, such as bank and insurance companies awaiting regulatory approval, will carry the appropriate symbol of awaiting regulatory approval (ARA).

    Companies undergoing a capital reconstruction, including supplementary issue, share buyback, split, and share reconstruction, will be tagged capital reconstruction exercise (CRE) while companies that have indicated that they will be delisting or companies that are being delisted at the instance of the regulator would be flagged with delisting in process (DIP) symbol.