Access Holdings Rebounds As Equities Gain N980b

Access Holdings have rebounded as equities gain N980b.

NewsOnline Nigeria reports that Access Holdings’ share price rose for the first time this week yesterday as investors increased demand for the shares of the financial services group.

This Nigeria news platform recalls that Access Holdings’ share price had dropped on Monday the first trading session after the announcement of the death of its Group Chief Executive Officer, Dr Herbert Wigwe.

 

READ ALSO: Helicopter Crash Involving Herbert Wigwe Was Avoidable – US Lawyer

Wigwe, his wife, son and former Group Chairman of Nigerian Exchange Group (NGX Group) Plc, Chief Abimbola Ogunbanjo died in helicopter crash at the weekend in United States of America (USA).

 

The market opened to the news of appointment of Ms. Bolaji Agbede as the Acting Group Chief Executive Officer of Access Holdings Plc on the second trading day, with the shares trading flat, an indication that investors were holding back to fully consider the implications of the announcement.

Access Holdings’ share price rose by 1.29 per cent to N23.60 per share yesterday in what market analysts said was an indication of positive investors’ sentiment on the timely appointment and general stability of the group.

 

The gains by Access Holdings, the third most active stock yesterday, and 27 other stocks pushed the equities market to a net capital gain of N980 billion.

 

Market analysts noted that while Agbede’s appointment is subject to the approval of the Central Bank of Nigeria (CBN), the timely appointment was in line with extant capital market rules which disallows leadership vacuum in companies quoted on Nigerian Exchange (NGX).

They said the decision to promptly get a replacement for the bank deceased bank chief was also in line with the company’s succession policy.

 

President, Bank Customers Association of Nigeria , Dr. Uju Ogubunka said the company acted rightly, insisting that the appointment of Agbede would boost investors’ confidence in the company.

 

The All Share Index (ASI)- the value-based common index that tracks all shares quoted on the NGX, rose by 1.76 per cent to close at 103,498.28 points as against its opening index of 101,707.70 points. Aggregate market capitalisation o all quoted equities also rose by N980 billion to close at N56.633 trillion compared with its opening value of N55.653 trillion.

 

There were 28 gainers to 25 losers. Unity Bank and Airtel Africa emerged the highest price gainer of 10 per cent each to close at N2.42 and N2,200 respectively. Juli followed with a gain of 9.91 per cent to close at N1.22 per share. FBN Holdings rose by 9.90 per cent to close at N27.20 while Morison Industries appreciated by 9.82 per cent to close at N3.02 per share.

 

On the negative side, NCR Nigeria, Thomas Wyatt Nigeria and MeCure Industries led others on the losers’ chart with 10 per cent each to close at N4.32, N2.25 and N9.72 respectively. Meyer followed with a decline of 9.99 per cent to close at N6.22 while BUA Cement shed 9.91 per cent to close at N150 per share.

The total volume traded rose by 62.19 per cent to 426.861 million units, valued at N12.107 billion, and exchanged in 8,654 deals. Transactions in the shares of FBN Holding led the activity with 54.611 million shares worth N1.479 billion. United Bank for Africa (UBA) followed with account of 47.658 million shares valued at N1.173 billion. Access Holdings traded 46.045 million shares valued at N1.092 billion. Transnational Corporation (Transcorp) traded 30.646 million shares worth N394.903 million while Nigerian Breweries traded 25.488 million shares worth N968.657 million.