Wednesday, 10th August 2022
Breaking News:

Stock market capitalisation plunges by N78 billion

By Helen Oji
07 April 2021   |   3:08 am
Following losses by most blue-chip stocks, the Nigerian Stock Exchange (NSE) sustained a sliding profile at the opening of the week yesterday, leading to a fall in market capitalisation by N78 billion.

[FILES] The reception area at the Nigerian Stock Exchange in Lagos, Nigeria. PHOTO: Ruth McDowell/ 2019 Bloomberg Finance

As Onyema ends tenure as NSE’s CEO

Following losses by most blue-chip stocks, the Nigerian Stock Exchange (NSE) sustained a sliding profile at the opening of the week yesterday, leading to a fall in market capitalisation by N78 billion.

The All-Share Index (ASI) declined by 150.13 absolute points, representing a decrease of 0.39 per cent to close at 38,766.61 points while the overall market capitalisation value lost N78 billion to close at N20.283 trillion.

The market loss was driven by price depreciation in large and medium capitalised stocks amongst which are Guinness Nigeria, MRS Oil Nigeria, Guaranty Trust Bank, BUA Cement, and Aluminium Extrusion Industries.

For the week, United Capital Plc said: “We retain a mid-term bearish outlook on the market particularly as the ASI struggled to hold above the 39,000 points support in the prior week. We expect a sustained reversal in yields to remain a threat to any form of a sustained rebound in the equities market.”

As measured by market breadth, market sentiment turned negative, as 21 stocks lost relative to 14 gainers. Eterna Plc recorded the highest price gain of 9.91 per cent to close at N5.99 kobo.

Linkage Assurance followed with a gain of 9.72 per cent to close at 79 kobo and Royal Exchange rose by 9.09 per cent to close at 36 kobo.

Japaul Gold and Ventures appreciated by 8.89 per cent to close at 49 kobo while FCMB Group gained 4.59 per cent to close at N2.96 kobo.

On the other hand, MRS Oil Nigeria led the losers’ chart by 9.92 per cent to close at N10.90, per share.

Aluminium Extrusion Industries followed with a decline of 9.88 per cent to close at N7.30 while Consolidated Hallmark Insurance shed 9.38 per cent to close at 29 kobo.

Sterling Bank shed 8.65 per cent to close at N1.69 while Guinness Nigeria depreciated by 8.08 per cent to close at N33.00 kobo.

Also, the total volume of trades declined by 6.19 per cent to 224.594 million units, valued at N2.143 billion, and exchanged in 4,675 deals.

Transactions in the shares of UAC of Nigeria (UACN) topped the activity chart with 34.049 million shares valued at N337.607 million. Access Bank followed with 26.347 million shares worth N214.930 million while FBN Holdings (FBNH) traded 18.932 million shares valued at N137.435 million.

Zenith Bank traded 16.587 million shares valued at N364.335 million, while Fidelity Bank transacted 15.305 million shares worth N39.151 million.

Meanwhile, the NSE has announced that the Chief Executive Officer (CEO), Oscar Onyema has now completed his tenure at the exchange. In commemoration of his exemplary leadership, he was honoured with the digital closing gong ceremony on April 1, 2021.

According to a statement by the exchange, Onyema will assume office as the Group Chief Executive Officer (GCEO), Nigerian Exchange Group (NGX Group) Plc following the successful demutualisation of the exchange.

Speaking at the Closing Gong Ceremony, the Chairman, Nigerian Exchange Group (NGX Group) Plc, Otunba Abimbola Ogunbanjo said: “It is impossible to overstate Oscar Onyema’s contributions to the growth of the exchange and the development of the capital market in the past ten years. After his first year of leadership, it became evident that his strategic mindset and mastery of Exchange business was what NSE dearly needed to rise to its next level of growth.

“As anticipated, the exchange went on to experience significant growth as the years went by, most notable of which is the recent completion of the demutualisation of the exchange. It has indeed been a pleasure working with him in our time at the NSE and I look forward to our continued journey to greatness in the NGX era.”

Onyema said: “I arrived at the NSE when the stock market was in the doldrums, investors’ confidence low, mono-product, and the bourse under regulatory administration.”