Economy
Stock Market: New Pricing Rule Favours Domestic Investors—Experts
By Dipo Olowookere
The recently introduced pricing methodology by the Nigerian Stock Exchange (NSE) has been described by experts as a tool that has favoured domestic investors by increased their participation in the stock market.
According to the Head of Banking and Finance Department at the Nasarawa State University Keffi, Dr Uche Uwaleke, has given local investors the opportunity to be more involved in the capital market because they can now pull volume with penny stocks trading below the former 50 kobo per share threshold.
“Unlike foreign investors who show more interest in high-cap stocks, a good number of domestic investors take positions in penny stocks given their affordability,” Mr Uwaleke told the News Agency of Nigeria (NAN) n Lagos.
The university don was reacting to the price depreciation posted by many penny stocks last month which had Consolidated Hallmark emerging the worst performing stock in percentage terms.
The stock opened trading in February at 50k, but lost 48 percent to close for the month at 26k per share, due to exchange new pricing method.
Mr Uwaleke said the new pricing methodology led to losses posted by most penny stocks.
“It is the new pricing methodology that has injected liquidity into those penny stocks which allowed their prices to fall below 50k,” he said.
The lecturer further said the new method was aimed at improving liquidity, narrowing spreads and ensuring that all price-improving transactions had impact.
He said that the new rule would effectively remove the previous rule which placed minimum allowable price for any stock to trade at its nominal value, irrespective of the market forces.
According to him, it specifies that stock prices will be determined by market forces of demand and supply, as prices can fall below the initial price.
On his part, Mr Ambrose Omordion, the Chief Operating Officer of InvestData Ltd, also attributed the development to the new pricing rule.
Omordion added that the losses posted by some second tier banking stocks were due to profit-taking following rally posted at the beginning of the year.
Data obtained from the NSE showed that Unic Diversified Holdings, another penny stock, came second last month after dropping by 47.83 percent to close at 24k per share against opening price of 46k.
Courtville Business Solutions dipped 46 percent to close at 27k against 50k, while Multiverse Resources lost 37.5 percent to close the month at 30k per share compared with the opening price of 48k.
Other top losers were Skye Bank, which dipped by 34.01 percent to close at 97k against N1.47k in January, while Wema Bank lost 32.65 percent, having closed at 99k in contrast with N1.47k.
Diamond Bank dropped 26.10 percent to close at N2.35k against N3.18k, while Unitykap lost 26 percent to close at 37k against the opening price of 50k.
Lasaco Insurance declined by 21.43 percent to close at 33k against 43k in January, while Royal Exchange lost 21.43 percent to close at 33k per share against 42k opening price.
Conversely, Linkage Assurance was the best performing stock in percentage terms, appreciating by 24.64 percent to close at 86k per share against the opening price of 69k.
Unity Bank trailed with a growth of 17.11 percent to close at N1.78k in contrast with N1.52k in January, while NEM Insurance rose by 16.02 percent to close at N2.10k per share against N1.81k.
Other top gainers were Beta Glass, 15.64 percent; Unilever,15.06 percent; CCNN, 11.27 percent; Transnation Express, 11.11 percent; Prestige Assurance, 10.87 percent; GSK, 10.53 percent; and AIICO Insurance, 10.29 percent.
During the month, the NSE All-Share Index lost 1,013.11 points or 2.28 percent to close at 43,330.54 against 44,343.65 achieved in January.
Also, the market capitalisation which opened at N15.895 trillion shed N146 billion or 2.18 percent to close the month at N15.549 trillion.
The volume of shares traded dipped by 44.96 percent as investors bought and sold 11.95 billion shares worth N106. 08 billion achieved in 112,255 deals.
This was in contrast with January turnover of 21.71 billion shares valued at N197.22 billion traded in 168.649 deals.
By Aduragbemi Omiyale
The pre-registration training and examination for capital market operators (CMOs) for the second quarter of 2026 has been postponed.
Business Post gathered that the new date for the exercise is now Monday, June 15, 2026.
This information was disclosed by the Securities and Exchange Commission (SEC) through a circular on Monday, June 8, 2026.
The Nigerian capital market regulator stated that this postponement has also resulted in the extension of the deadline for registration to Friday, June 12, 2026.
In the notice today, the SEC expressed its regret for the inconvenience this action may cause operators, who had prepared for the initial date of the training and examination.
“Further to the recent circular on Q2 2026 Pre-registration Training and Examination, the Securities and Exchange Commission (SEC) hereby informs all eligible applicants for the Q2 2026 Pre-registration Training and Examination that the commencement date has been postponed to Monday, June 15, 2026.
“Registration on the designated portal has also been extended to Friday, June 12, 2026. All other conditions contained in the circular remain unchanged.
“The commission regrets any inconvenience this postponement may cause and appreciates the understanding of all applicants,” the disclosure noted.
By Aduragbemi Omiyale
One of the leading healthcare firms in Nigeria, Fidson Healthcare Plc, has listed additional shares on the Nigerian Exchange (NGX) Limited.
The new stocks absorbed into the stock market were 600 million units, raising the total issued and fully paid-up shares of Fidson to 3,000,000,000 ordinary shares of 50 Kobo each from 2,400,000,000 ordinary shares of 50 Kobo each.
The fresh equities came from the company’s rights issue of 600,000,000 ordinary shares of 50 Kobo each at N35.00 per share.
They were issued to existing investors on the basis of one new ordinary share for every existing four ordinary shares held as of the close of business on Wednesday, November 12, 2025.
Confirming the development, the regulator in a notice said, “Trading licence holders are hereby notified that an additional 600,000,000 ordinary shares of 50 Kobo each of Fidson Healthcare Plc were on Tuesday, June 2, 2026, listed on the daily official list of Nigerian Exchange Limited.
“The additional shares arose from the company’s rights issue of 600,000,000 ordinary shares of 50 Kobo each at N35.00 per share on the basis of one new ordinary share for every existing four ordinary shares held as at the close of business on Wednesday, November 12, 2025.
“With the listing of the additional 600,000,000 ordinary shares, the total issued and fully paid-up shares of Fidson Healthcare Plc have now increased from 2,400,000,000 to 3,000,000,000 ordinary shares of 50 Kobo each.”
By Modupe Gbadeyanka
This news will surely excite local contractors with verified claims of N100 million or less, as the federal government has approved their payments.
This approval for the disbursement was given by the Minister of Finance and Coordinating Minister of the Economy, Mr Taiwo Oyedele.
This followed a verification and reconciliation exercise designed to ensure only validated claims qualify for payment.
The beneficiaries cover contractors across multiple ministries, departments and agencies. The release of the funds is expected to enable contractors to return to project sites, pay workers, settle suppliers and meet outstanding financial commitments.
In an announcement on Monday, the Federal Ministry of Finance also said this latest batch of payments would ease liquidity pressure on small businesses and accelerate economic activity nationwide.
It was noted that the payments for verified claims of N100 million below were strategically done to spread economic impact broadly rather than concentrate disbursements among a handful of large firms.
The payments form part of a broader push to clear inherited contractor obligations, with over N700 billion verified in recent months.
“For many beneficiaries, the release of funds represents more than a financial transaction. It provides the certainty needed to sustain operations, preserve jobs, complete ongoing projects, and contribute to economic recovery and growth,” the ministry said in a statement.
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