Nigerian stocks tumble by N391 billion after sell-off in Dangote Cement

Dangote Cement, Nigeria’s largest company by market value, shed 10 percent – the maximum daily downward movement permitted by the exchange – as hefty quantities of the firm’s shares were up for sale, triggering the fall. Sell pressure on NGX Group and Unity Bank also stoked the loss.

The board NEM Insurance announced a share reconstruction plan that will see every two of the underwriter’s shares converted to one in a bid to halve its outstanding shares, an ambition it said to have got shareholders’ blessing.

Market breadth, a determiner of investors’ sentiment towards trade, was positive as 22 gainers emerged relative to 15 laggards.

“While we believe there is some room for a near-term rebound in subsequent trading sessions, we retain a month-long bearish perspective on the equities market as sell pressures resume later in the month,” said analysts at Lagos-based broker and investment bank United Capital in a note seen by PREMIUM TIMES.

The all-share index shrank by 749.94 basis points to 41,685.22. Similarly, market capitalization declined to N21.76 trillion.

Year to date, the index is up by 3.51 percent.

TOP FIVE GAINERS

SAHCO topped gainers, trading up 9.66 percent to close at N4.88. Oando gained 8.33 percent to close at N4.93. WAPIC rose by 8.51 percent to N0.51. Mutual Benefits jumped to N0.26, notching up 8.33 percent. Consolidated Hallmark completed the top 5, climbing up by 8.16 percent to N0.53.

TOP FIVE LOSERS

Dangote Cement led losers, declining by 10 percent to close at N252. UACN shrank by 10 per cent to end trade at N9. Neimeth tumbled to N1.63, losing 6.86 percent. May & Baker dipped to N4.20, recording a 6.46 percent loss. Pharma Deko closed at N2, going down by 5.21 percent.

TOP FIVE TRADES

Altogether, 472.5 million shares worth N5.2 billion were traded in 3,874 deals.

FBN Holdings was the most preferred stock with 228.5 million units of its shares worth N2.6 billion traded in 340 deals. Access transacted 45.6 million shares priced at N421.9 million exchanged hands in 242 transactions. Sterling had 37.9 million shares valued at N56.8 million traded in 46 deals. Unity Bank traded 26.5 million shares estimated at N11.7 million in 62 transactions. Zenith traded 18.7 million shares valued at N452.4 million in 278 deals.