Indices rise further by N70b amid sustained gains in 17 stocks

Following buying interest in Guinness and 16 stocks, transactions on the equities sector of the Nigerian Exchange Limited (NGX) continued in an upbeat yesterday, causing market capitalisation to rise further by

Yesterday, market capitalisation appreciated by N70 billion from N29.610 trillion recorded on Monday to N29.682 trillion yesterday, while the All-share index also rose by 131.64 points from 54,364.67 points to 54,496.31 points.

On the price movement chart, TrippleG emerged the day’s highest price gainer, adding 9.49 per cent to close at N1.50 kobo while Courtville followed with 8.33 per cent to close at 52 kobo. Chams added 7.14 per cent to close at 29 kobo.

Guinness gained 6.35 per cent to close at N67. Prestige Assurance appreciated by five per cent to close at 42 kobo. Cadbury added 4.80 kobo to close at N12. International Breweries advanced by 2.17 per cent to close at N4.70 kobo. MTN Nigerian garnered 1.49 per cent to close at N245.50. Oando increased by 1.29 per cent to close at N3.93 kobo. Dangote Sugar appreciated by 1.17 per cent to close at N17.25 kobo. Unilever rose by 1.15 per cent to close at N 13.25 kobo.

However, International Energy Insurance led others on the losers’ chart with 6.20 per cent to close at N1.21 kobo while Livestock trailed with 5.45 per cent to close at N1.04 kobo. Unity Bank shed 3.77 per cent to close at 51 kobo. Fidson depreciated by 3.75 per cent to close at N9.50 kobo.

TransNational Corporation shed 3.10 per cent to close at N1.25 kobo. UPDC Reit declined by 3.08 per cent to close at N3.15 kobo. UPDC depreciated by 3.03 per cent to close at 96 kobo. First City Monument Bank lost 2.13 per cent to close at N4.60 kobo. AIICO dropped 1.67 per cent to close at 59 kobo. Cornerstone Insurance fell by 1.64 per cent to close at 60 kobo. Zenith Bank also shed 1.36 per cent to close at N25.30 kobo.

Analysts at Afrinvest said: “Investor sentiment as measured by market breadth weakened in the prior session as 17 stocks advanced while 19 declined. We expect an extended positive outing in the next trading session driven by bargain hunting activities.”

Meanwhile, NGX has admitted TajBank Limited’s N10bn Sukuk Mudarabah in its drive to further deepen the capital market. In commemoration of the listing of TajBank’s N10bn 15 percent Series 1 Sukuk Mudarabah bond on its Exchange, NGX held a closing gong ceremony yesterday.

According to NGX, TajBank operates in Nigeria under Islamic banking principles and as a non-interest bank. The Bank recently raised N10billion through a Sukuk Mudarabah Program that has both features of Equity and Debt.

The N10billion Sukuk Mudarabah Issuance is an additional Tier 1 Capital with loss-absorbency and a first of its kind in Nigeria, which is being raised under the TajBank N100 billion Sukuk Mudarabah Program, aimed at strengthening the bank’s capital adequacy ratio.

Speaking at the ceremony, the Divisional Head, Capital Markets, NGX, Mr Jude Chiemeka commended the efforts of TajBank’s leadership and the parties to the issue: Greenwich Merchant Bank, Lead Issuing House; 117 Capital & Buraq Capital, Joint Sharia Advisers; and United Capital, Brokers, on the transaction.

“NGX will continue to support issuers by providing a platform of choice for capital raising and linking them with a diverse pool of investors. The Exchange is also committed to the development of Islamic financing in the Nigerian capital market and continues to implement initiatives to deepen its offerings”, says Chiemeka.