By Adedapo Adesanya and Aduragbemi Omiyale

The shares of PZ Cussons appreciated by 9.36 per cent on the floor of the Nigerian Exchange (NGX) Limited on Thursday to N45.00 from N41.15 on Wednesday.

This was buoyed by news that the company has halted its Nigeria exit plans and unveiled fresh expansion targets driven by renewed growth momentum in its key markets of the country as well as others.

This followed the conclusion of a strategic review, outlining an ambitious plan to strengthen the company’s presence across key markets on the continent including Nigeria, Kenya, and Ghana.

The company in a statement on its website on Thursday noted that the renewed focus formed part of a broader strategy to build a portfolio balanced between Developed markets such as the United Kingdom and Australia/New Zealand, and emerging markets including Indonesia and Nigeria.

The review, which began in April 2024, had included the sale of the Group’s 50 per cent stake in PZ Wilmar Ltd., its non-core edible oils joint venture in Nigeria to its partner, Wilmar International, for $70 million.

According to the company, the review attracted substantial interest from potential buyers.

However, the Board resolved that shareholder value would be better maximised by retaining the Africa business and pursuing long-term growth.

PZ Cussons stated that its new strategic direction for Africa would focus on building a winning portfolio of “locally loved brands,” anchored on three major pillars.

The first pillar was core growth across Nigeria, Kenya, and Ghana.

This will involve plans to deepen brand-building efforts, expand distribution, improve in-store execution, strengthen revenue-growth management, and enhance digital engagement.

The firm noted that its Nigerian subsidiary had doubled the number of directly served retail outlets since the 2022 financial year, boosting recent performance.

The second pillar targets category expansion into adjacencies such as men’s grooming and beauty, leveraging established brands including Venus, Imperial Leather and Premier.

The third pillar focuses on pan-African expansion, with new markets expected to be supplied through its existing operations in Nigeria and Kenya.

Highlighting Africa’s long-term potential, the Group said the continent’s population was projected to grow by more than 900 million over the next 25 years.

This represented over half of global population growth. Nigeria alone is expected to add over 100 million people, supported by rapid urbanisation and an expanding middle class.

PZ Cussons added that recent economic and currency improvements had supported double-digit revenue growth in the first half of its financial year.

The board expressed confidence in the company’s prospects, citing deep local insights, decades of brand heritage and strong manufacturing and distribution capabilities, especially as several multinationals had exited the market in recent years.

It noted that nearly 80 per cent of revenue in Nigeria was generated from brands that hold the number-one or number-two position in their categories.

“In the 2025 financial year, Africa contributed £141 million in revenue and £16 million in adjusted operating profit, representing 27 per cent and 30 per cent of the Group’s totals respectively.

“Following the divestment from PZ Wilmar, its Africa operations now comprise Family Care and Electricals in Nigeria, and Family Care businesses in Ghana and Kenya.

“The Group holds a 73.3 per cent stake in PZ Cussons Nigeria Plc,” the statement said.

Commenting, Mr Jonathan Myers, Chief Executive Officer of PZ Cussons, said, “Since embarking on the strategic review of Africa, we have identified or agreed the sale of non-core or surplus assets totalling over £70 million.

“This, combined with continued cash generation of the Group, has significantly strengthened our balance sheet.

“After a thorough review of the remainder of the Africa business and careful evaluation of the offers received, the Board believes it is in the best interest of our stakeholders to retain the business.

“Africa is a market of great opportunity. Given PZ Cussons’ deep heritage there, and given the strength of our brands and operational capabilities, we are well-placed to win over the longer term.

“Benefitting from a more stable economic environment in recent months and with positive fiscal reform, momentum in our Africa business is strong, with double-digit revenue growth in the first half of the financial year.

“We will now look to build on this strong performance and extend our category leadership, with nearly 80 per cent of our revenue in Nigeria already coming from brands with #1 or #2 positions.

“With plans underpinned by appropriate guardrails established to reduce risk and manage volatility, we are confident that we have a business that is set up for success.

“We expect Africa to be a significant contributor to overall Group revenue growth as we seek to build a winning portfolio of locally-loved brands, balanced between Developed and Emerging markets.”

By Adedapo Adesanya

The NASD Over-the-Counter (OTC) Securities Exchange recorded a 0.04 per cent loss on Thursday, December 11 despite the share prices of securities closing green.

Yesterday, Central Securities Clearing System (CSCS) Plc depreciated by N2.74 to N37.18 per share from the N39.82 per share it ended a day earlier.

This depleted the NASD Unlisted Security Index (NSI) by 1.37 points to 3,578.23 points from 3,579.60 points and tumbled the market capitalisation by N600 million to N2.140 billion from N2.141 trillion.

Data from the NASD exchange showed that Nipco Plc appreciated by N19.48 to sell at N214.48 per unit versus N195.00 per unit, MRS Oil Plc added N16.19 to close at N179.00 per share compared with Wednesday’s closing price of N162.81 per share, FrieslandCampina Wamco Nigeria Plc increased by N1.68 to N60.00 per unit from N58.32 per unit, UBN Properties Plc advanced by 14 Kobo to quote at N2.22 per share versus N2.08 per share, and Geo-Fluids Plc gained 3 Kobo to trade at N4.65 per unit versus N4.62 per unit.

During the session, the volume of securities bought and sold by the market participants soared by 4,217.8 per cent to 35.2 million units from 815,000 units, the value of securities went up by 8,040.3 per cent to N1.4 billion from N16.5 million, and the number of deals jumped by 16.00 per cent to 29 deals from 25 deals.

At the close of transactions, Infrastructure Credit Guarantee Company (InfraCredit) Plc remained the most traded stock by value on a year-to-date basis with 5.8 billion units sold for N16.4 billion, trailed by Okitipupa Plc with 178.8 million units worth N9.5 billion, and Air Liquide Plc with 507.6 million units traded for N4.2 billion.

InfraCredit Plc was also the most traded stock by volume on a year-to-date basis with 5.8 billion units valued at N16.4 billion, followed by Industrial and General Insurance (IGI) Plc with 1.2 billion units transacted for N420.3 million, and Impresit Bakolori Plc with 537.0 million units worth N524.9 million.

By Adedapo Adesanya

The seasonal foreign exchange (FX) demand pressure further dealt a blow on the Naira in the Nigerian Autonomous Foreign Exchange Market (NAFEM) on Thursday, December 11, weakening its value against the US Dollar by 69 Kobo or 0.05 per cent to N1,456.07/$1 from the N1,455.38/$1 it ended a day earlier.

The Nigerian currency also performed poorly against the Pound Sterling and the Euro in the same market window during the trading session.

It lost N12.85 against the British currency to close at N1,950.11/£1 versus the preceding session’s N1,937.26/£1 and declined against the European nation’s currency by N13.60 to settle at N1,692.76/€1 compared with the previous day’s N1,706.36/€1.

At the GTBank forex counter, the domestic currency crashed against the US Dollar by N3 yesterday to sell at N1,463/$1 versus the N1,460/$1 it was exchanged a day earlier,  and closed flat in the parallel market at N1,470/$1.

The local currency facing pressures defied the Central Bank of Nigeria (CBN) FX interventions amidst rising foreign payments, reflecting the absence of significant inflows from foreign investors, exporters and non-bank corporate players. This suggests that the FX market is trading at the band caused by seasonal pressures.

Yet, the Naira is expected to trade within a range, with increased Dollar sales by the central bank and steady remittance inflows offsetting seasonal demand for imports.

“All indicators point to range-bound trading for the week ahead, with the Naira likely within the range of between 1,445 and 1,460 to the dollar,” a trader told Reuters.

In the cryptocurrency market, benchmarked currencies appreciated as traders digested the Federal Reserve’s decision to trim its fed funds rate range by 25 basis points.

Solana (SOL) jumped by 6.0 per cent to $131.06, Litecoin (LTC) increased by 2.6 per cent to $83.45, Bitcoin (BTC) gained 2.4 per cent to close at $92,539.49, Binance Coin (BNB) also improved by 2.4 per cent to $892.03, Dogecoin (DOGE) expanded by 1.6 per cent to $0.1408, Ethereum (ETH) rose by 1.6 per cent to $3,254.61, and Ripple (XRP) grew by 1.4 per cent to $2.03.

However, Cardano (ADA) depreciated by 1.1 per cent to $0.4262, while the US Dollar Tether (USDT) and the US Dollar Coin (USDC) remained unchanged at $1.00 apiece.