Nigerian Exchange Ltd (NGX) posted growth of N810 billion ahead of the first Monetary Policy Committee of 2022, MPC, scheduled for January 24-25.
The market capitalization, which opened last week at N23.951 trillion, gained N810 billion or 3.38 per cent to close at N24.761 trillion, on January 21.
Also, the NGX All-Share index rose 1,502.68 or 3.38 percent to close at 45,957.35 from 44,454.67 in the previous week on gains by some leading companies.
Some analysts speaking to the Nigerian News Agency on Sunday in Lagos attributed the rally to a share buyback by Dangote Cement and anticipation of better earnings for fiscal 2021.
The Managing Director of Morgan Capital Securities Ltd., Mr. Rotimi Olubi, said that the start of the second tranche of the share buyback program by Dangote Cement during the period contributed to growth.
“The program saw the company's share price advance from N252 per share to N284 at the close of the market on January 21.
"This also boosted the NGX ASI index and market capitalization by over N500 billion," Olubi said.
It added that the expectation of the earnings report of listed companies for the year ending in 2021 and the positive sentiments of investors as a result of the search for bargains in discounted equity prices led to the recorded growth.
On global and domestic stock market expectations this week, Olubi said news of soaring inflation and the prospect of further interest rate hikes clouding global stock, commodity and cryptocurrency market prospects would determine the direction of the market. market this week.
He said the outcome of the MPC meeting in which the committee would decide on the interest rate, cash reserve and liquidity ratio was also a key factor to watch as the new week begins.
InvestData Ltd. COO Ambrose Omordion said the nation's stock market started 2022 with strong momentum due to year-end portfolio rebalancing and repositioning for the new year.
Omordion said the buying interest coincided with historic positive trends in January.
It added that the growth was driven by the rebound in oil prices and better financial earnings announced by some listed companies during the week under review.
Mr. Omordion noted that the appreciation in the prices of large-cap and blue chip stocks had a positive impact on the market, as revealed by the NGX index, which recorded 3.4% due to high trading volume and the strong buying pressure ahead of next week's MPC meeting.
According to him, other factors that have shaped the market so far are the mixed macroeconomic indices, the listing of BUA Foods and the Dangote Cement share buyback program.
On the outlook for next week, he said: "We expect mixed performance and volatility as more companies release earnings, the MPC meeting and profit-taking as the benchmark hits a 14-year high."
Analysts at Cordros Research said the MPC result would determine the direction and performance of the stock market this week.
“In the week ahead, we think investors will focus on the outcome of the MPC meeting to gain more clarity on the movement of yields in the fixed income market.
“Consequently, we expect a 'choppy theme' (in which prices go up and down) as cautious trading is likely to dominate the market.
"However, we advise investors to take positions only in fundamentally justified stocks, as the weak macroeconomic story remains a major headwind to corporate earnings," they said.
Meanwhile, investors traded a total turnover of 1.86 billion shares worth N47.49 billion in 20,861 deals.
This contrasted with 1.6 billion shares valued at N32.72 billion that were traded in 22,607 transactions in the previous week.
The financial services industry (measured by volume) led the activity chart with 815.36 million shares valued at N7.07 billion traded in 10,736 deals.
The sector contributed with 43.89 percent and 14.88 percent to the total volume and value of capital turnover, respectively.
The ICT industry followed with 596.58 million shares worth N845.02 million in 1,028 deals.
Third place was the conglomerate industry, with a turnover of 161.347 million shares worth N191.189 million in 983 deals.
Industrial and Medical Gases Nigeria (IMG) Plc has changed its name to expand operations, increase revenue and ensure greater shareholder value.
The company's managing director / chief executive officer, Mr. Ayodeji Oseni, at the presentation of the new brand name and logo on Friday in Lagos said that the rebrand was the beginning of a new era.
Oseni added that the company had developed a plan to strengthen its global competitiveness on a sustainable basis, regardless of the nature of the operating environment.
He assured shareholders that the rebrand was the beginning of a new era.
Oseni said the company was more positioned to expand its operations, introduce more innovative products and improve shareholder value.
“We are all very excited about the bold and ambitious commitments made by investor TY Holdings.
“These commitments will lead to the acquisition of additional plants with complementary facilities, strategic workforce development, growth and development and business expansion within Nigeria and West Africa, to name just a few.
"We will leverage our team of experienced staff with rich industry experience, modern equipment and quality products and services for optimal performance and sustainably generating shareholder value," said Oseni.
He said the company would deepen its online presence, drive conversions to drive sponsorship of its products and services, and generate shareholder value in a sustainable way.
"As a publicly traded company, we will continue to meet our listing requirements on the NGX in our operations on a regular basis," he added.
However, Oseni called on the Federal Government to create an enabling environment for operations in the real sector in order to boost the utilization of capacity to create employment opportunities.
In his welcoming address, the president, Mr. Abiodun Alabi, said that the rebrand was necessary for the determination to strengthen the operations of the company, after the acquisition of 60 percent of the stake.
“In August this year, The Linde Group sold its 60 percent majority ownership to TY Holdings, a group of companies that has various business interests in various sectors of the Nigerian economy.
"TY Holding Group is known for its cunning, great vision and passion to excel in whatever field it operates in," said Alabi.
He explained that the shared vision was to significantly strengthen our company's number one position in Nigeria and deepen our activities in West Africa.
“Today when we unveil the new name and logo for our beloved company, the collective challenge for all stakeholders is to come together to support the success of our new journey.
“The nightmare of our industry today is the lack of government regulations and standards to ensure that players provide safe and quality products.
"I call on the federal government to address these challenges without further delay," Alabi said.
A prominent shareholder of the company, Mr. Sunny Nwosu, in a message of goodwill, commended the board and management for the historic event.
Nwosu described the rebrand as a great dividend-boosting expectation for shareholders.
The company was founded in Nigeria in 1959 as Industrial Gases Ltd (IGL).
Oando Plc has officially notified Nigerian Exchange Ltd., NGX, of the acquisition of Dahiru Mangal's stake in the company by Leaf Investment & Realtors Ltd.
This was contained in a statement signed by Oando's chief compliance officer and company secretary Ayotola Jagun, published on the NGX on Monday.
“In accordance with Rule 17:13 (a) of the Nigerian Exchange Ltd. Issuer Rules, we hereby announce the acquisition of Alhaji Dahiru Mangal's interest of 1,968,452,614 shares in Oando PLC by Leaf Investment & Realtors Ltd .
"Based on the above, Leaf Investment & Realtors Ltd. now owns 15.83 percent of Oando Plc," the statement said.
Oando had surpassed the volume of shares traded on NGX on November 22 with an exchange of 1.97 billion shares.
Specifically, the company traded 1.97 billion shares valued at N11.83 billion in off-market trading at N6 per share in eight deals.
The transaction was negotiated as a crossover agreement by APT Securities and Funds Ltd. as buyer and seller.
Speaking about the transaction, a broker for APT Securities and Funds Ltd., who declared himself anonymous, said that the transaction was part of the agreement with Ocean and Oil Development Partners Ltd. with Mangal to resolve their dispute.
The stockbroker said that Mangal was becoming aware of all his holdings as part of an agreement under the mandate of the Securities and Exchange Commission, SEC, to the company to resolve all complaints that cause problems with its majority shareholder. .
The broker said Mangal would also remove his directors, both CEO Mukhtar Zubair and non-executive director Bukar Goni-Aji, as part of the settlement agreement.
MTN Nigeria Communications Plc., MTNN, has obtained approval from the Securities and Exchange Commission, SEC, for the sale offer of up to 575 million common shares in MTNN held by the MTN Group.
This is contained in a notice signed by the Secretary of the MTNN Company, Uto Ukpanah, posted on the Nigerian Exchange website, NGX, Ltd. on Tuesday in Lagos.
As previously communicated, the offer will be through bookbuild to institutional investors (institutional offer), and subsequently, a fixed price to retail investors (retail offer).
“The institutional offer opens today at 12 noon on November 23 and closes at 2 pm on November 26, after which a fixed price will be determined for the retail offer.
"It is proposed that the retail offering be opened after the institutional offering and an announcement will be made to that effect once clearance is obtained from the SEC," he said.
The Institute of Capital Market Registrars (ICMR) will develop new strategies that will increase retail engagement technology to drive market accessibility.
The President and Chairman of the Council, ICMR, Mr. Oluseyi Owoturo, said this in a statement made available to the Nigerian News Agency on Monday in Lagos.
Owoturo said that the new strategies became imperative given the fact that even with four million investors in the capital market, potential investors were still victims of Ponzi schemes.
“Even with the more than four million investors in the capital market compared to the 50.9 million BVN holders in the banking system, potential investors continued to fall victim to Ponzi schemes.
“In fact, there are tremendous opportunities to reposition capital market technology to make the market easily accessible, resolve inefficiencies that affect the investor experience, and improve investor confidence.
"The time has come to harness the enormous potential of the Nigerian tech space to change the capital market narrative, create wealth for investors and provide financing for sustainable growth," said Owoturo.
He said that the ICMR would hold the 2021 annual conference with the theme: “Reinventing Nigeria's Capital Market for Growth: The Digital Technology Approach”, on November 27 at the Hotel Lagos Oriental.
“The goal is to ensure that new combinations of talent and technology deliver breakthroughs and value in investor experience and operational efficiency.
"We expect digital technology to deliver positive results in streamlining processes, leveraging data, and shaping entirely new ways of doing business," said Owoturo.
According to him, the outcome of the conference is expected to reposition the Nigerian capital market for a growth capital market that is attractive to investors and capable of supporting long-term investment needs in the public and private sectors of the economy. .
"We are confident that the scourge of unclaimed dividends, the need for a shared market infrastructure and the changing role of regulators, the conference speech will fuel momentum towards repositioning the Nigerian capital market for sustainable growth," Owoturo said.
According to him, Mr. Lamido Yuguda, Director General of the Securities and Exchange Commission, will be the keynote speaker.
Other speakers include: Mr. Bukar Kyari, Managing Director / CEO, Africa Operations, Inlaks Plc, Mr. John Obaro, Managing Director / CEO, SystemSpecs Ltd., and Ms. Tinuade Awe, Executive Director, NGX Regulations Ltd.
The bears maintained their dominance on the national stock exchange on Friday as market capitalization fell another 45 billion naira due to persistent profit taking.
Specifically, the market capitalization, which opened at 22.589 trillion naira, lost 45 billion naira or 0.20% to close at 22.544 billion naira.
Moreover, the All-Share index lost 86.70 points or 0.20% to close at 43,199.27 against 43,285.97 recorded on Thursday.
Eterna led the latecomers chart in percentage terms, losing 9.03 percent to close at N 6.65 per share.
NGX Group was behind with 8.86 percent to close at N15.95, while Lasaco Assurance was down 7.08 percent to close at N1.05 per share.
UPDC REIT lost 6.67 percent to close at 5.60 N, while Wema Bank lost 4.71 percent to close at 81,000 per share.
Conversely, Unity Bank led the winning rankings in terms of percentage, gaining 10% to close at 55,000 per share.
Regence Insurance followed with 5.41 percent to close at 39,000, while Vitafoam raised 4.78 percent to close at N 21.90 per share.
Chams rose 4.76% to close at 22,000, while FTN Cocoa added 4.76% to close at 44,000 per share.
A breakdown of the activity chart shows that GTCO was the most active stock at 499.27 million shares valued at 1.26 billion naira.
FBN Holdings followed with 18.41 million shares worth 208.68 million Naira, while Access Bank traded 17.48 million shares worth 155.99 million Naira.
Nigerian breweries traded 7.63 million shares worth N 390.55 million, while Fidelity Bank sold 7.55 million shares worth N 19.56 million.
In total, the volume of shares traded fell 5.24 percent with an exchange of 199.52 million shares worth 3.26 billion naira in 3,917 deals.
That was against 210.55 million shares valued at 2.61 billion naira traded in 3,423 transactions on Thursday.
The Nigerian Exchange Ltd. (NGX) has urged the Federal Government and the private sector to embrace the capital market for long-term funds to address the country’s infrastructure deficit.
Chief Executive Officer of NGX, Mr Temi Popoola, said this at a news conference on Thursday in Lagos in preparation for the Exchange Capital Markets Conference.
Popoola said the government and the private sector must harness the opportunities in the country’s capital market for infrastructure development and employment, instead of depending on external borrowings.
Popoola noted that the challenges facing the country in terms of infrastructure would be resolved through capital market instruments.
“Most countries have used the capital market to boost their infrastructure. The capital market is the appreciative way of resolving our infrastructural issue.
“For us at the Exchange, we want to push this narrative, let’s bring the capital market to the centre of the discuss. This is another tool we can deploy to address many of these challenges,” he said.
He said the NGX would continue to engage the Federal Government, the private sector, policy markers and other stakeholders on the inherent opportunities in Nigeria’s capital market.
Popoola said the Exchange would remain committed to investor education to boost participation in the market.
According to him, the NGX will be holding its inaugural Nigerian Capital Markets Conference on Nov. 30.
He said the conference would bring together policymakers, government, ficial experts, business leaders, investors, international development partners, regulators and other stakeholders, to share insights and broaden the thinking needed for greater capital flows through innovative sources of ficing.
Popoola said: “This is going to be the first of its kind in the country. The event will address what the market can do for the government, private sector and the opportunities the market offers.”
He also stressed the need for government policy to drive and revive the capital market.
“Some of the rules that govern the market today need to be reviewed,” Popoola said.
He noted that retail investors in the market at the moment stood at three to four million, which he said was still very low when considering the country’s 200 million population.
Mr Jude Chiemeka, Divisional Head, Trading Business, NGX, said asset-backed securities could be harnessed to address the country’s infrastructure needs.
Chiemeka said the conference would highlight how investors, more importantly issuers can utilise the capital market to raise funds.
He said the government could focus on green bond, Sukuk, in addressing the infrastructural gap.
“The Eurobond the government has raised or going to do, we do have a lot of assets in the domestic economy that can actually be securitised, which government can use to fice the infrastructural needs.
“Our focus will also be around diversification of the capital market. For a long time our market had a lot of international flows and each time we have global ficial crises or foreign exchange issue as we are having now, the market takes a huge hit.
“The PFAs have assets of over N30 billion and with proper development, we should be able to have, like other markets, control 70 per cent of domestic flows.
“We should be able to launch our derivatives market, and with this instrument we can attract the millennium due to their high risk appetite,” Chiemeka said.
He stressed that the capital market, apart from solving problems, also created opportunities that would help in employment generation.
He noted that the economy would not witness the needed growth and development without the active involvement of the capital market.
The Central Bank of Nigeria, CBN, has granted Airtel Mobile Commerce Nigeria Ltd., a subsidiary of Airtel Africa, approval in principle to operate as a super agent.
This is contained in a notice signed by the secretary of the group company, Airtel Africa, Simon O'Hara, and posted on the website of Nigerian Exchange, NGX Ltd. Monday in Lagos.
According to the notice, the super agent license is separate from the payment services banking license, PSB license, for which the company received approval in principle on November 4.
He said the PSB license was required for Airtel to provide financial services in Nigeria.
The notice listed services such as cash deposits, payments and remittances, issuance of debit and prepaid cards, e-wallet and other financial services.
“Under the super agent license, we would be able to create a network of agents that can serve customers of licensed Nigerian banks, payment service banks and licensed mobile money operators in Nigeria,” said declared the notice.
He said final approval of the super agent license was contingent on the group meeting certain standard conditions.
MTN Nigeria Communications Plc said it has received approval in principle from the Central Bank of Nigeria, CBN, for a license application for MOMO Payment Bank Limited.
This is contained in a notice signed by Company Secretary Uto Ukpanah posted on the Nigerian Stock Exchange website NGX, Limited in Lagos on Friday.
According to the notice, this is the first step in the process towards final approval, subject to certain conditions as stipulated by the CBN.
The notice stated that the decision to issue the final approval was firmly within the regulatory competence of the CBN and that their rights and judgments in this regard will be respected by MTN Nigeria.
He said, “MTN Nigeria affirms its commitment to the financial inclusion of CBN and the Federal Republic of Nigeria and continues to explore ways in which it can contribute to its achievement.
"As we look forward to the eventual granting of a final license from PSB, we will continue to release important information in accordance with regulatory obligations and guidelines," he said.
MoMo is an acronym for mobile money that allows registered agents to perform transactions for customers.
It allows cash transfers for people who do not have bank accounts and ATM cards.
MTN Nigeria Communications Plc has announced the successful completion of the issuance of its 12.75% 10-year 10-year Series II N89.99 billion fixed rate bonds due 2031.
The company disclosed in a notice sent to the Nigerian exchange, NGX, Limited on Thursday in Lagos.
He said the issue was part of the 200 billion naira bond issuance program.
According to the opinion, the bonds issued this year are in line with the company's strategy to allow it to diversify its sources of funding and extend the maturity of its debt portfolio.
He added that the Series II bond, which was the company's second issuance of the year following the successful launch in May, complements MTN Nigeria's 200 billion naira bond issuance program, which has been fully subscribed.
The company said the book-building process started on October 8 and ended on October 15 and was well received with the active participation of a wide range of high-value investors, including high-value investors. pension funds, insurance companies, asset managers, financial institutions among others.
He said that upon the inception of the book, the total value of subscriptions received peaked at 133.45 billion naira, which is 1.48 times the subscription, as a result, the Series II bond was launched at a 12.75 percent clearing coupon with 89.99 billion naira in qualifying bids.
MTN Nigeria Managing Director, Mr. Karl Toriola, said in the notice: “We continue to be grateful for the immense support from investors as the domestic debt capital market has once again given us the opportunity. opportunity to raise long-term funding to help investments in our network.
“In line with the company's strategy, the bonds issued this year allow us to diversify sources of funding and extend the maturity of the company's debt portfolio.
“We are very proud of this historic transaction and thank the investment community for their continued confidence in the long term strategy of MTN Nigeria, our management team and the entire telecommunications industry,” he said.
According to the notice, Chalet Hill Dedham Advising Limited acted as the principal issuing house while Stanbic Ibtc Capital, DLM Advisory, FCMB Capital Markets, FBBQuest Merchant Bank, Rand Merchant Bank and Vetiva Capital Management acted as the houses joint issuance.
He also said that the success of the Series II bond issuance reflected MTN Nigeria's strong credit ratings, which were recently upgraded to AAA, investor confidence in its ability to maintain the leadership of the capital market. national.
The net proceeds would be used to optimize MTN Nigeria's capital structure and finance network expansion.