MTN Nigeria Declines by 7% Amidst Block Trade
Telecommunication Company, MTN Nigeria Plc, lost more than 7% of its market value on the Nigerian Exchange, NGX, in the last seven trading sessions as investors sentiment dropped.
The telecom company had stabilised as market anticipates Q1 earnings to reflect quality of its strategies post naira devaluation and latest moves including renegotiation of tower deals.
The telecom company share was priced lower just two times in the previous week amidst a huge block trades outside the Nigerian bourse. In the week, the telecom company experience huge trading shares volume in a cross trade deal between investors, bypassing the Nigerian Exchange.
Trading data from the local bourse showed that its price declined to N254, the rate at which the off market transaction which was conducted midweek. On Wednesday, MTNN closed at N245 as 10.96 million shares valued at more than N2.687 billion were traded in the local bourse midweek.
Some foreign interest have been taking position in the telecom giant ahead of Q1 earnings release. The telecom company market value settled at N5.153 trillion in the Nigerian Exchange, lost 4% week on week due to one day selloffs.
Despite a block transaction midweek, its market price was unchanged as a stockbroker matched buy and sell orders of 5 million unit cross trade at N245.
Experts explained that a stock cross trade occurs when a broker facilitates a trade between two client accounts for the same stock, bypassing the public exchange. #MTN Nigeria Declines by 7% Amidst Block Trade#
