VFD Closes Strong as Investors Confidence Surges, Defies Rights Issue Pressure
VFD Group delivered a resilient upside performance in Monday’s session, defying the typically dampening effect of an ongoing Rights Issue scheduled to close on December 26. The stock benefited from sustained investor confidence and broader market stability, leading to a positive re-pricing trend throughout the day.
The equity opened at N10.20 and gained 65 kobo intraday to close at N10.85, securing a green finish despite ongoing capital-raising activity. This closing price sits well below its 52-week high of N19.00, yet comfortably above the 52-week low of N6.68, signaling that the counter remains in a gradual recovery phase with potential room for further re-rating as market sentiment strengthens.
Total value of trades for the session stood at N32,294,676.90, underscoring active demand and renewed appetite for exposure to the counter amid expectations of improved capital structure post-rights issue completion.
Given the improving trading momentum, moderate valuation relative to historical highs, and ongoing investor interest, VFD Group presents a compelling medium-to-long-term “ACCUMULATION” opportunity. The current market pricing reflects a discounted entry point with future upside potential once the rights issue closes and post-capital-raising fundamentals begin to crystalise.
Investors with a tolerance for moderate risk and an outlook aligned with corporate restructuring benefits may find this period strategically favorable for incremental position building. #VFD Closes Strong as Investors Confidence Surges, Defies Rights Issue Pressure#
VFD Hits 52-Week High as Dividend Hunters Take Positions
