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NGX market cap rises N598bn

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NGX market cap rises by N598bn as consumer and tech stocks lead equities rally, reflecting renewed investor confidence despite slower trading

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The Nigerian Exchange Limited (NGX) recorded a strong trading session on Wednesday as investor optimism returned to the equities market, lifting total market capitalisation by N598 billion to close at N106.78 trillion.

Also read: NGX Index Down By 0.01% As Investors Lose N2bn

The increase, a 0.56 per cent gain over the previous session, underscores growing confidence among investors despite a slowdown in overall trading activity.

A total of 752.4 million shares changed hands in 55,739 deals, generating a turnover of N29.62 billion.

This represents a 33 per cent decline in volume and a 12 per cent drop in turnover compared with Tuesday, although the number of deals rose by 13 per cent, indicating sustained interest in select equities.

Trading was broad-based, with 131 equities participating. Forty-seven stocks recorded gains, led by Academy Press, which surged 10 per cent to close at N8.25 per share.

NCR Nigeria followed with a 9.98 per cent increase, Tripple Gee and Co rose 9.95 per cent, and Tantalizers gained 9.93 per cent.

Twenty-eight stocks ended the session lower, led by May and Baker Nigeria, which fell 9.79 per cent to N28.55 per share.

Coronation Insurance, Livestock Feeds, and PZ Cussons also recorded declines.

Access Holdings recorded the highest trading volume, with 53.41 million shares exchanging hands for a total value of N1.24 billion.

Lasaco Assurance followed with 39 million shares traded for N100.2 million, while Veritas Kapital Assurance and Tantalizers accounted for 32.79 million and 30.13 million shares, respectively.

On the value side, Aradel led with N8.99 billion from 11.33 million shares traded, followed by Seplat with N4.02 billion, MTN Nigeria with N1.64 billion, and Zenith Bank with N1.25 billion.

Market analysts attributed the session’s gains to bargain-hunting and renewed confidence in select blue-chip stocks, particularly in the consumer and technology sectors.

Analysts noted that while market capitalisation rose significantly, the decline in volume and turnover highlights a cautious approach among investors, with smaller traders selectively targeting stable-return equities.

Consumer-focused companies were among the top beneficiaries, with Academy Press, Tripple Gee, and Tantalizers leading the rally.

Financial and insurance stocks, however, experienced mixed performance, as May and Baker, Wapic, and Livestock Feeds lagged behind, reflecting sector-specific pressures despite the overall market gains.

Also read: NGX Welcomes Guaranty Trust Holding Company Plc With Closing Gong Ceremony

NGX extended its bullish trend on Tuesday, as sustained buying in key stocks lifted total market capitalisation by N1.66 trillion, reinforcing positive investor sentiment in the equities market.

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Theparkpay Technologies Limited Strengthens Global Payments Infrastructure with UK FCA Licence

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Theparkpay UK FCA licence strengthens the fintech’s global payments infrastructure as it expands regulated cross-border services across key markets (more…)

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Wale Tinubu Says Nigeria’s Creativity Can Drive Exports

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Wale Tinubu says Nigeria’s creativity can become a major export industry, creating jobs, attracting foreign exchange and building sustainable businesses (more…)

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TotalEnergies, AMNI Approve $800m Ima Gas Project

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TotalEnergies and Nigerian independent energy company AMNI International have taken the Final Investment Decision on the $800 million Ima Gas Project, more than five decades after the gas field was discovered.

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The Ima Gas Project, located in shallow waters across Oil Mining Leases 112 and 117 near Bonny Island, Rivers State, is expected to begin production in 2028 and reach a plateau of 350 million cubic feet of gas per day.

The development is expected to play a major role in supplying feed gas to Nigeria LNG, with the Ima field projected to provide about one-third of the additional gas required for the ongoing Train 7 expansion.

Train 7 is expected to increase Nigeria LNG’s liquefaction capacity from 22 million tonnes per annum to 30 million tonnes per annum, strengthening Nigeria’s capacity to process and export liquefied natural gas.

The Ima field was discovered in 1973 but remained undeveloped for more than 50 years. The Final Investment Decision provides the commercial and financial basis for finally developing the long-dormant resource.

Under the development plan, TotalEnergies will operate the project with a 40 per cent interest, while AMNI will hold the remaining 60 per cent.

The field will be developed using a single offshore platform connected to Nigeria LNG’s facility on Bonny Island through a 22-kilometre pipeline.

TotalEnergies said its investment in the project is more than $600 million, while the Federal Government described the overall Final Investment Decision as an $800 million investment.

At the FID signing ceremony in Abuja, TotalEnergies Exploration and Production Nigeria Managing Director, Mathieu Bouyer, described the decision as the culmination of a development process that had stretched across several decades.

He said the project reflected increased confidence in Nigeria’s investment environment and highlighted reforms targeting the non-associated gas sector as part of the factors that helped make the development commercially viable.

President Bola Tinubu welcomed the investment, saying the project demonstrated the potential of reforms introduced to reduce the cost and time required to develop oil and gas projects.

The President said the government had introduced incentives aimed specifically at unlocking onshore and shallow-water gas projects that had remained undeveloped for years.

He said the Ima development would create opportunities for Nigerian businesses, engineers, technicians and contractors, while generating jobs, economic activity in host communities and additional export earnings.

The project is also expected to have a strong Nigerian content component. TotalEnergies said all key contractors for the development would be Nigerian companies, while about 60 per cent of the workforce during the development phase is expected to come from host communities.

The development will incorporate measures aimed at reducing emissions. TotalEnergies said the platform would receive electricity from shore, operate without routine flaring and use permanent methane detection and monitoring systems.

The Federal Government said the project is part of efforts to turn Nigeria’s large natural gas reserves into productive assets capable of supporting industrialisation, energy supply, jobs and export earnings.

Special Adviser to the President on Energy, Olu Verheijen, said the Ima development illustrated the importance of creating commercial and investment conditions that allow previously stranded resources to be developed.

The government also noted that Nigerian financial institutions arranged 77 per cent of the project’s financing, further highlighting the participation of domestic financial institutions in the development.

For Nigeria LNG, the project comes as the company continues work on the Train 7 expansion, which is designed to increase the Bonny Island plant’s liquefaction capacity and strengthen the country’s position in the global LNG market.

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