Airtel listing pushes market capitalisation by N1.34 trillion

Despite price losses that outweighed gains, transactions in the equities sector of the Nigerian Stock Exchange (NSE), sustained rising profile as market capitalisation rose by N1.34 trillion.

The increase in NSE’s market capitalisation is attributable to Airtel Africa’s cross-border secondary listing of 3,758,151,504 ordinary shares on the nation’s bourse yesterday.

Specifically, the All Share Index (ASI) increased by 30.15 absolute points, representing a growth of 0.10 per cent to close at 29,318.02 points. Also, the market capitalisation gained N1.379 trillion or 10.68 per cent to close at N14.288 trillion on the back of Airtel Africa listing.

The upturn was impacted by gains recorded in large and medium capitalised stocks, amongst which were; Nigerian Breweries, Cadbury Nigeria, Dangote Flour Mills, Cement Company of Northern Nigeria, and Stanbic IBTC Holdings.

However, analysts argued that the market outlook remains negative amid investors’ cautious trading and prevailing negative sentiments, occasioned by Nigeria’s current weak macro-economic situation.

Precisely, analysts at Afrinvest Limited, said: “Our bearish outlook on the market remains unchanged, as we believe yesterday’s bullish run is only temporary.”
Also, Cordros Capital Limited, said: “Our outlook for equities in the short to medium term remains conservative, amidst absence of any catalyst of market returns.”

Despite the price gains, market breadth closed negative, with eight gainers as against 20 losers.
Airtel Africa traded 100,110 shares valued at N37.97 million to close at N399.30 per share, and appreciated by 10 per cent or N36.30 per share at the first day of listing.

Cadbury Nigeria led other price gainers with 4.37 per cent to close at N11.95 per share. Japaul Oil & Maritime Services followed with of 4.35 per cent to close at 24 kobo, while Dangote Flour rose 1.75 per cent to close at N17.40, per share.

Morison Industries gained 1.69 per cent to close at 60 kobo, and Nigerian Breweries added 0.83 per cent to close at N60.50, per share.

On the other hand, GlaxoSmithKline Consumer Nigeria led the losers’ chart with 9.78 per cent to close at N8.30 per share. Courteville Business Solutions followed with 8.70 per cent to close at 21 kobo, and Ecobank Transnational Incorporated (ETI) shed 8.65 per cent to close at N9.50, per share.

Dangote Sugar Refinery lost 8.26 per cent to close at N10.55 and Wema Bank fell 7.58 per cent to close at 61 kobo, per share.

Total volume traded appreciated by 36.22 per cent to 294.62 million shares worth N3.22 billion, traded in 4,033 deals.

Transactions in the shares of Cornerstone Insurance topped the activity chart with 80.12 million shares valued at N16.03 million. Zenith Bank followed with 48.52 million shares worth N922.84 million, while Guaranty Trust Bank traded 29.77 million shares at N840.85 million.

Transnational Corporation of Nigeria (Transcorp) traded 17.55 million shares valued at N18.12 million, while FBN Holdings sold 16.91 million shares worth N104.59 million.

 

Source: https://guardian.ng/business-services/airtel-listing-pushes-market-capitalisation-by-n1-34-trillion/

Get real time updates directly on you device, subscribe now.

Leave A Reply

Your email address will not be published.