Nigerian stocks gain N217 billion on investors’ rush for heavyweight shares

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The advance mostly derived strength from appreciation in the shares of MTNN, Seplat, UBA, Access, ETI, GTCO and Sterling Bank.

Nigerian stocks gained big on Wednesday as the benchmark index climbed 1 per cent following investor’s tremendous demand for big-cap stocks across sectors.Helping sentiment, Sterling Bank announced it has obtained approvals-in-principle from industry watchdog, first to transform to a holding company and, second, to start a non-interest banking unity to be known as Alternative Banking Limited.

The lender’s newly granted permission to restructure to a holdco signals the second time this year a bank its sister companies will adopt that model following the transformation of GTB and its subsidiaries to GTCO. Nigeria’s biggest bank Access is also looking to become a holdco, allowing it to join the ranks of FBN Holdings, Stanbic IBTC Holdings and the FCMB Group, who had earlier towed that path.

Market breadth, a barometer used for measuring investors’ sentiment towards trade, was positive as 20 advancers emerged compared to 11 losers. The all-share index expanded 416.24 points to close at 42,435.16, while market capitalisation closed higher at N22.14 trillion.Living Trust led the gainers, appreciating by 9.09 per cent to N0.96. Meyer went up by 7.69 per cent to N0.28. Mansard rose to N2.22, notching up 7.25 per cent in the process. Dangote Sugar added 6.67 per cent to end trade at N16. Honeywell completed the top 5, climbing by 6.51 per cent to N3.60.Cutix was the worst performing stock, declining by 9.

 

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