…As FG lists N15bn green bond on NSE ***
The Nigerian Stock Exchange (NSE) crucial market indicators gained N12 billion on Monday, as it rebounded by 0.09 per cent on renewed bargain hunting of some blue chips, after prolonged days of bearish trend.
The All-Share Index rose by 23.66 points or 0.09 per cent to close at 26,557.44 against 26,533.78 achieved on Friday. Market capitalisation which opened at N12.916 trillion increased by N12 billion or 0.09 per cent to close at N12.928 trillion.
The upturn was impacted by gains recorded in medium and large capitalised stocks, amongst which are; Dangote Flour Mills, Dangote Cement, Fidson Healthcare, Nestle Nigeria and United Bank for Africa (UBA).
Analysts at Cowry Asset Management Limited expected the local bourse to close in green territory in the new week.
“Although investors’ sentiment still remain weak given the perceived attractiveness of fixed investment yields, we feel that the optimism, albeit temporal, will be stimulated by anticipated Q3, 2019 companies’ results,” they said.
Market breadth closed positive, with 11 gainers compared with eight losers.
Courteville Business Solutions recorded the highest price gain of 10 per cent, to close at 22k per share.
Fidson Healthcare followed with a gain 9.72 per cent to close at N3.95, while Consolidated Hallmark Insurance rose by 7.14 per cent to close 30k per share.
AXA Mansard Insurance rose by 6.25 per cent to close at N1.70, while Dangote Flour appreciated by 3.60 per cent to close at N23, per share.
Conversely, Global Spectrum Energy Services led the losers’ chart in percentage terms, dropping by 9.62 per cent, to close at N4.70 per share.
UACN came second with a decline of 6.99 per cent to close at N6.65, while United Capital dipped 4.69 per cent to close at N2.03 per share.
FBN Holdings lost 2.78 per cent to close at N5.25, while Ecobank Transnational Incorporated (ETI) shed 2.70 per cent to close at N7.20 per share.
Similarly, the total volume traded appreciated marginal with an exchange of 129.08 million shares worth N2.74 billion traded in 2,595 deals.
This was in contrast with a turnover of 117.34 million shares valued at N1.13 billion transacted in 2,122 deals.
Transactions in the shares of Global Spectrum Energy Services topped the activity chart with 36.6 million shares valued at N172.02 million.
Guaranty Trust Bank followed with 14.47 million shares worth N387.28 million, while Transcorp sold 9.86 million shares worth N9.95 million.
Zenith Bank traded 8.34 million shares valued at N149.81 million, while FCMB Group transacted 8.05 million shares worth N12.88 million.
In a related development, Federal Government on Monday listed its N15 billion green bond on the daily official list of the Nigerian Stock Exchange (NSE).
The seven-year bond issued at coupon rate of 14.50 per cent on June 13, 2019 would mature on June 13, 2026.
The Series II Green Bond was issued to finance renewable energy, aforestation, and transportation projects.
The series 11 bond followed the debut Sovereign ₦10.69 billion Green Bond that was issued in December 2017 and listed on the NSE in July 2018.
Commenting on the listing, Mr Jude Chiemeka, NSE Head, Trading Business Division, said that the exchange was pleased to admit the bond.
“We are pleased to admit the Series II FGN Green Bond to our Green and Sustainable Bond Market.
“Our collaboration with the Ministry of Environment (MOE) and the Debt Management Office on deepening the Green Bond market, which dates back to 2016, reinforces the Exchange’s commitment to position Nigeria as a financial centre for green and sustainable financing,” Chiemeka said.
He noted that the recent partnership with the Luxembourg Stock Exchange (LuxSE) further demonstrates NSE’s passion to provide enabling environment for issuers and investors in the Nigerian capital market.
“The Exchange will continue to work with key stakeholders in transitioning to a low-carbon and sustainable economy as well as develop innovative products and services in close collaboration with the market,” he added.
Chiemeka also congratulated the Minister of Environment and the Management of the DMO on the successful issuance of a second Green Bond.
He said that the laudable feat would aid in addressing environmental challenges and fostering sustainable financing in Nigeria.
Chiemeka said Nigeria’s participation in the Green bond market was in line with the Federal Government’s commitment to achieving its Nationally Determined Contributions (NDC) under the Paris Agreement on Climate Change signed in September 2016.