Economy
NSE Begins Process of Delisting Six Companies
By Dipo Olowookere
Six companies listed on the Nigerian Stock Exchange (NSE) are already being prepared to be pushed out of the stock market, Business Post has authoritatively learned.
Already, according to information available to us, the NSE has obtained approval of the Regulation Committee (RegCom) of its National Council to go ahead with the process.
This authorisation was received to allow the management of the exchange to commence process of delisting the six firm from the nation’s local bourse. By the time it is completed, the companies would no longer be allowed to trade their shares on the local stock exchange.
Document seen by Business Post indicated that of the six affected firm, only one is seeking to delist itself voluntarily, which is First Aluminium Nigeria Plc.
The five companies, which are presently in the process of being delisted by the NSE are Deap Capital Management Plc, Evans Medical Plc, The Tourist Company of Nigeria Plc, Anino International Plc and Nigerian German Chemical Plc.
Deap Capital Management is a Lagos-based fund management company operating in the capital market, mortgage banking, and oil and gas sectors. Its major products include DEAP Standard, DEAP Gold, DEAP Platinum and DEAP Classic, while its major services include fund management, portfolio management, capital.
Shares of the company were last traded on the NSE in October 2018 at 44 kobo per unit. They were admitted on the stock exchange on December 17, 2007.
For Evans Medical, it is one of Nigeria’s largest pharmaceutical manufacturing companies, which started business operations in the country in 1954.
The firm has been undergoing tough times for a while and in October 2017, it announced that the defunct Skye Bank Nigeria Plc, now Polaris Bank, and First Bank of Nigeria had taken over its asset. Shares of the company were last transacted on the NSE at 50 kobo per unit.
Another company on the list, The Tourist Company of Nigeria Plc, is involved in the operation of gaming and hospitality businesses in Victoria Island, Lagos. The firm owns and operates the popular Federal Palace Hotel and Casino in Victoria Island, Lagos. It also operates a casino, a banqueting facility, and a pool club.
The company, which still released its financial statements for Q1 2019 in April, is still active on the NSE, with its shares traded this week at N3.50k per share.
Anino International Plc is a firm which manufactures and markets a range of nutritional supplements and pharmaceutical products in Nigeria. The company specialises in nutritional products and supplements as well as intravenous solutions.
It was listed on the NSE on January 2, 1990 and its shares last exchanged at 25 kobo per share and has a market capitalisation of N6.1 million.
Nigerian German Chemical Plc, which has its office in Ogun State, is a manufacturer, seller and distributor of specialty industrial chemicals and pharmaceutical products.
It produces and sells specialty industrial chemical products consisting of chemical intermediates for use in the production of paints, textiles, plastics, leather and soaps.
In addition, it manufactures and markets household consumer products, and markets agrochemical and veterinary products, serving various market sectors, including healthcare, agrochemicals veterinary/animal healthcare, oil and gas industry, household consumer products and industrial chemicals. Its products include Albarika, Antelmin, Anusol, Benylin, Broncholyte, Ciproval, Cofeze, Colipan, Daga, Duphalac, Duphaston, Dusptalin, Fastaquine, Gelusil, Glanil, NGC-valgin, Oraldene, PaedAmol, PaediQuine, Sloans, Tabalon, Traflox, Atrazine 80 WP, Atrazine 500 FW, Glyphosate, Cypermethrin, Luxan Lindane, Diazinon, Dichlorvos, Dinamol and Engipal CVN-Y, among others.
Shares of this firm were last traded on the NSE in October 2017 at N3.44k each.
By Adedapo Adesanya
The NASD Over-the-Counter (OTC) Securities Exchange rose by 2.30 per cent, spurring the NASD Security Index (NSI) to close higher by 96.61 points to 4,296.34 points from 4,199.73 points, and raising the market capitalisation by N57.99 billion to N2.578 trillion from N2.521 trillion.
The market was up yesterday despite a lower activity level, as the volume of securities traded slumped by 94.7 per cent to 1.3 million units from the previous 23.9 million units. The value of securities slipped by 57.2 per cent to N29.2 million from the preceding session’s N68.2 million, while the number of deals executed by market participants increased by 6.7 per cent to 32 deals from the 30 deals carried out on Thursday.
At the close of transactions, Great Nigeria Insurance (GNI) Plc remained the most traded stock by value on a year-to-date basis, with a turnover of 3.4 billion units worth N8.4 billion, trailed by Infrastructure Credit Guarantee (Infracredit) Plc with 2.3 billion units valued at N6.5 billion in trades, and Central Securities Clearing System (CSCS) Plc with 70.8 million units traded for N4.9 billion.
GNI Plc was also the most traded stock by volume on a year-to-date basis, with 3.4 billion units sold for N8.4 billion, followed by Infracredit Plc with 2.3 billion units exchanged for N6.5 billion, and Resourcery Plc with 1.1 billion units transacted for N415.7 million.
During the trading day, there were three price gainers and two price losers, led by Afriland Properties Plc, which shed N1.48 to sell at N15.17 per share compared with the previous session’s N16.65 per share, and Food Concepts Plc, which slid by 7 Kobo to close at N2.69 per unit versus N2.76 per unit.
Conversely, FrieslandCampina Wamco Nigeria Plc improved its value by N9.50 to trade at N150.00 per share compared with Thursday’s closing price of N140.50 per share, CSCS Plc went up by N7.95 to N89.65 per unit from N81.70 per unit, and 11 Plc soared by N6.94 to N206.95 per share from N200.01 per share.
By Dipo Olowookere
The Nigerian Exchange (NGX) Limited lost its footing by 0.07 per cent on Friday as a result of renewed profit-taking by investors.
The fall happened after Thomas Wyatt and Guinness Nigeria led other price losers group comprising 27 stocks at the market yesterday due to selling pressure.
Thomas Wyatt Nigeria shed 10.00 per cent to quote at N2.70, Guinness Nigeria drowned by 9.99 per cent to close at N329.00, Ikeja Hotel slipped by 9.96 per cent to N42.50, Zichis shed 9.94 per cent to trade at N26.37, and McNichols depreciated by 9.91 per cent to N5.00.
On the flip side, International Breweries gained 9.92 per cent to finish at N13.30, NEM Insurance appreciated by 9.61 per cent to N27.95, Jaiz Bank grew by 6.36 per cent to N9.20, UPDC expanded by 6.33 per cent to N4.20, and Livestock Feeds increased by 6.32 per cent to N9.25.
Business Post reports that investor sentiment remained bullish despite the loss recorded during the session, as there were 27 price decliners and 30 price advancers, representing a positive market breadth index.
Yesterday, market participants transacted 441.3 million equities for N19.4 billion in 44,938 deals compared with the 1.7 billion equities worth N112.0 billion traded in 44,780 deals a day earlier. This showed that the trading volume contracted by 74.04 per cent, the trading value declined by 82.68 per cent, and an uptick in the number of deals by 0.35 per cent.
Access Holdings led the activity chart on Friday after selling 40.2 million shares valued at N1.0 billion, Sterling Holdco traded 30.3 million stocks worth N228.8 million, Fidelity Bank sold 26.3 million equities for N505.6 million, Zenith Bank transacted 22.3 million shares valued at N2.5 billion, and First Holdco exchanged 19.0 million stocks worth N1.3 billion.
During the last trading session of the week, the consumer goods sector rose by 0.49 per cent, the insurance counter increased by 0.06 per cent, and the industrial goods index closed flat, while the banking and energy indices lost 0.78 per cent and 0.52 per cent, respectively.
As a result, the All-Share Index (ASI) shrank by 159.97 points to 243,798.76 points from 243,958.73 points, and the market capitalisation moderated by N103 billion to N156.445 trillion from N156.548 trillion.
By Adedapo Adesanya
The Naira performed poorly against the United States Dollar in the Nigerian Autonomous Foreign Exchange Market (NAFEX) on Friday, July 10, losing N1.19 or 0.09 per cent to close at N1,379.62/$1, in contrast to Thursday’s exchange rate of N1,378.43/$1.
It also depreciated against the Pound Sterling in the official market during the trading session by N3.80 to trade at N1,850.62/£1 compared with the previous day’s N1,846.82/£1, but gained 43 Kobo on the Euro to sell at N1,575.66/€1 versus the preceding day’s N1,576.09/€1.
At the GTBank FX desk, the Naira weakened against the Dollar yesterday by N1 to quote at N1,386/$1 compared with the previous session’s N1,835/$1, and maintained stability in the black market at N1.400/$1.
Data showed that interbank FX turnover fell by about 10 per cent on Friday to $71.044 million from $78.708 million the previous day. Also, interbank forex market deals reduced to 87 from 106 trades executed at the window on Thursday.
The total forex inflows into the Nigerian foreign exchange market have been fluctuating, with about $1 billion in total inflows reported last week.
Total FX inflows settled at $0.99 billion last week, according to the research subsidiary of Coronation Merchant Bank, with Foreign Portfolio Investors (FPIs) accounting for the largest share at 35.81 per cent, or $0.35 billion.
Exporters accounted for 28.72 per cent or $0.28 billion, while the CBN contributed 11.15 per cent or $0.11 billion. Non-Bank Corporations also made up a notable 10.92 per cent of total inflows, reflecting continued support from both market-driven and official sources.
In the cryptocurrency market, Bitcoin rose above $64,100, retesting the price level that rejected it on Monday, with a clean break above, opening the path toward the June 15 high of $67,250. It gained 0.3 per cent to sell at $64,114.16.
Ethereum (ETH) appreciated by 1.6 per cent to $1,798.81, Dogecoin (DOGE) grew by 0.6 per cent to $0.0742, Binance Coin (BNB) added 0.6 per cent to sell for $576.47, Cardano (ADA) also grew by 0.6 per cent to $0.1674, and Ripple (XRP) jumped by 0.4 per cent to $1.10.
But Solana (SOL) lost 1.1 per cent to settle at $77.95, and TRON (TRX) declined by 0.2 per cent to $0.3296, while the US Dollar Tether (USDT) and the US Dollar Coin (USDC) remained unchanged at $1.00 apiece.
