Foreign Investors Bet on Nigerian Tops Stocks
Foreign portfolio investors, FPIs, increase bets IN Nigerian top banks stocks, and other listed companies in the equities market. This followed increased block transactions on stocks as investors’ boycotted the Nigerian Exchange trading platform to stem price fluctuations.
Transaction details obtained from sources revealed that offshore investors took positions in Tier-1 banks stock primarily and extended their positions in Brewer, and cement names amidst unending quest for alpha.
In a note to investors, AIICO Capital Limited revealed that offshore investors were more active in Guaranty Trust Holding Company, which warehoused GTBank, a strong financial services brand in the Nigerian economy.
Data showed that due to buying momentum, GTCO share increased by 2.5%, trading against negative equities market direction on the Nigerian Exchange.
MarketForces Africa reported that the financial services group SHARE was priced at N61 in a 13 million block trade on Thursday. Nigerian Breweries, Lafarge Africa, ACCESS, and Zenith Bank Plc also experienced similar transactions on their stock.
In the previous week, MTN Nigeria recorded a 5 million block trade at N245, while investors crossed 980 million shares of Sovereign Insurance between N0.99 and N1.00 in off-market transactions.
With its market price staying flattish, there was a significant share transaction in GEREGU Power that was consummated outside the Nigerian Exchange; its 9 million shares were priced at N1,035.
The Nigerian recorded notable crosses between investors placing a huge order and another buying 20 million shares of GTCO at N58.00 and 10 million shares of ACCESSCORP at N23.50 earlier in March.
These huge shares could have costs up to 10% maximum daily allowable price movement, stockbrokers explained, saying crosses, which means as stockbrokers receive buy order and sell order for the same stock, are allowed in Nigerian market. #Foreign Investors Bet on Nigerian Tops Stocks#
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