Stocks: SEC approves new trading window for NSE

According to the assistant general manager, Communication, Sola Oni, SEC gave its approval last week. With the new window, indigenous companies can now seek listing on the NSE while also enable companies that have done private placements but could not meet listing requirements to get listed on the floor of the stock market.

Before now, there have been complains among investors over the failure of their companies which they have acquired shares been listed on the market. Some of the companies, in their bid to win patronage wooed their prospective investors with listing on the market and unfortunately this has become impossible.

But Oni said the new window is a restructuring of the emerging market and second tier windows and it would facilitates quickly, listing of local companies in the market.

However, The NSE All-Share Index depreciated by 968.23 points or 3.53per cent to close on Friday at 26,784.90 while the market capitalization of the 198 First -Tier equities closed lower at N6.51 trillion. Also, The NSE-30 Index depreciated by 36.53 points or 3.22 per cent to close at 1,109.71. Last week, ASI and NSE-30 Index appreciated by 0.91 per cent and 1.8 per cent, respectively.

Also, a turnover of 2.01 billion shares worth N20.5 billion in 47,444 deals was recorded this week, in contrast to a total of 2.25 billion shares valued at N19.5 billion exchanged last week in 43,941 deals. The Banking subsector was the most active during the week (measured by turnover volume), with 795.5 million shares worth N7.97 billion exchanged by investors in 17,368 deals. Volume in the banking subsector was largely driven by activity in the shares of First Bank of Nigeria Plc, UBA Plc, Guaranty Trust Bank Plc and Skye Bank Plc. Trading in the shares of the four banks accounted for 370.9 million shares, representing 46.63 per cent and 18.43 per cent of the subsector’s turnover and total volume traded during the week, respectively. The Insurance subsector, boosted by activity in the shares of Continental Reinsurance Plc and Guaranty Trust Assurance Plc, followed on the week’s activity chart with a turnover of 260.9 million shares valued at N314.64 million in 2,270 deals. Last week, the Banking subsector led on the activity chart and was followed by the Insurance subsector.

The NSE All-Share Index depreciated by 968.23 points or 3.53per cent to close on Friday at 26,784.90 while the market capitalization of the 198 First -Tier equities closed lower at N6.51 trillion. Also, The NSE-30 Index depreciated by 36.53 points or 3.22 per cent to close at 1,109.71. Last week, ASI and NSE-30 Index appreciated by 0.91 per cent and 1.8 per cent, respectively. All the four sectoral indices depreciated during the week, The NSE Food/Beverages Index depreciated by 17.32 points or 2.0 per cent to close at 848.43, the NSE Banking Index depreciated by 18.39 points or 4.2 per cent to close at 422.04, the NSE Insurance Index depreciated by 8.85 points or 4.4 per cent to close at 197.26 and the NSE Oil/Gas Index depreciated by 9.10 points or 2.2 per cent to close at 405.43.

Seventeen (17) stocks appreciated in price during the week, lower than the forty-eight (48) of the preceding week. Nestle Nigeria Plc led on the gainers’ table with a gain of N27.00 to close at N341.00 per share while Total Nigeria Plc followed with N6.00 to close at N242.00 per share. Other price gainers’ in the Top 10 category include:

Chemical & Allied Products Plc N3.18, 7-Up Bottling Company Plc N2.24, International Breweries Plc N1.20, University Press Plc N0.77, Flour Mills Nigeria Plc N0.70, the Okomu Oil Palm Plc N0.62, Nigerian Breweries Plc N0.51 and Skye Bank Plc N0.45.

95 stocks depreciated in price during the week, higher than the sixty-six (66) of the preceding week. Oando Plc led on the price losers’ table, dropping by N45.37 to close at N78.53 per share while UACN Property Development Company Plc followed with a loss of N8.32 to close at N20.50 per share. Cadbury Nigeria Plc – N5.15, Benue Cement Company Plc – N3.99, Guinness Nigeria Plc N3.71, Julius Berger Nigeria Plc N3.55.

Lafarge Cement WAPCO Nig. Plc N3.00, UAC of Nigeria Plc N2.56, Unilever Nigeria Plc N2.29, African Petroleum Plc N2.19.

Seven equity prices were adjusted for dividend and/or bonus as recommended by the board of directors. Lafarge WAPCO Nigeria Plc was adjusted for dividend of N0.10 per share. Oando Plc was adjusted for bonus of 1 for 2. Nigerian Bottling Company Plc was adjusted for dividend of N0.50 per share. The Okomu Oil Palm Plc was adjusted for dividend of N0.30 per share. Nigerian Aviation Handling Company Plc was adjusted for dividend of N0.45 per share. UACN Property Development Company Plc was adjusted for dividend of N0.50 per share and bonus of 1 for 4. Berger Paints (Nig) Plc was adjusted for dividend of N0.50 per share.

Similarly, a total of 275,000,000 shares were added to the shares outstanding in the name of UACN Property Development Company Plc on Monday, May 17, 2010 following the bonus of 1 for 4. Also, a total of 634,585,472 shares were added to the shares outstanding in the name of Tourist Company of Nigeria Plc at N3.79 per share on Thursday, May 20, 2010 following the conclusion of Placing to Sun International Limited. Similarly, a total of 603,389,752 shares were added to the shares outstanding in the name of Oando Plc on Friday, May 21, 2010 following the bonus of 1 for 2.