Investors in Nigeria’s equities market are exhibiting reduced interest in banking stocks as they await the half-year financial results of tier-1 lenders. The ongoing selling pressure on banking and oil & gas stocks has hindered significant advancements in the market recently.
In the most recent trading session, the market saw a marginal increase of just 0.01 percent or N2 billion. The year-to-date (YtD) return of the market stood at +27.79 percent. This week, the market witnessed a rise of 1.19 percent, while the increase for the month stood at 1.80 percent.
Stability in Naira Exchange Rate at 900/$
The exchange rate between the Nigerian Naira and the US Dollar remains stable in the parallel segment of the foreign exchange (FX) market. Dealers reportedly sold dollars to willing buyers at N900/$ and bought from willing sellers at N890/$, as per data from AbokiFX, an online platform that tracks exchange rates on the parallel market.
Market Performance and Top Traded Stocks
The Nigerian Exchange Limited All-Share Index (ASI) and equities market capitalization slightly increased from the previous day’s figures, reaching 65,492.92 points and N35.844 trillion respectively.
Transcorp Hotels led the list of top advancers, experiencing an 8.99 percent increase from N36.70 to N40. Transnational Corporation followed, rising from N4.48 to N4.80, reflecting a 7.14 percent gain.
Transcorp, Universal Insurance, Dangote Sugar, Fidelity Bank, and CHI Plc were among the most actively traded stocks on the exchange.
Ikeja Hotel’s Capital Plans
At the recent Annual General Meeting of Ikeja Hotel Plc, shareholders approved a dividend payment of 7.5 kobo per ordinary share, totaling N155.909 million. They also endorsed a bonus issue of 1 share for every 3 shares held, amounting to 692,932,133 units.
Additionally, the company’s shareholders greenlighted raising additional capital through the issuance of 1,133,888,945 unissued shares via a rights issue. This would be offered to existing shareholders based on a ratio of 6 new ordinary shares for every 11 held, as per the 2022 audited accounts of the company.