Airtel Africa Plc, has reported the sales of its telecommunications tower assets in Tanzania to SBA Communications Corporation at a gross consideration of $176.1m. Under the terms of the transaction, Airtel Africa’s subsidiary in Tanzania would continue to develop, maintain and operate its equipment on the towers under a separate lease arrangements with the Purchaser. Also, BUAFOODS listed by introduction 18.0bn units shares at ₦40.00 each during the first trading session of the year, while WEMABANK announced a right issue round of up to ₦40.0bn at two new shares for every three shares held in the reconstructed capital of the bank, subject to obtaining relevant regulatory approvals.
Today, buying interest in AIRTELAF (+10.0%), SEPLAT (+2.3%), OANDO (+9.7%), and newly listed BUAFOODS (+10.0%) buoyed gains as the benchmark index rose 1.0% to 43,476.75 points. Accordingly, YTD return strengthened to 1.8% while market capitalisation advanced ₦242.8bn to ₦23.4tn. Trading activity bolstered as volume and value traded surged 472.8% and 2,734.8% to 1.2bn units and ₦43.0bn respectively. BUAFOODS (1.0bn units), WEMABANK (25.0m units), and TRANSCORP (25.0m units) led by volume while BUAFOODS (₦40.5bn), NGXGROUP (₦285.7m), and ZENITH (₦275.2m) led by value.
Across our sector coverage, performance was mixed as 3 indices lost while 3 gained. The Industrial Goods index led losers, down 2.4% on account of sell-offs in BUACEMENT (-2.7%) and DANGCEM (-2.7%). Similarly, the Banking and Consumer Goods indices dipped 50bps and 2bps respectively due to losses in UBN (-6.9%) and INTBREW (-1.0%). On the flip side, price uptick in AIRTELAF (+10.0%) drove the AFR-ICT index higher by 4.7% to lead gainers. Trailing, the Oil & Gas and Insurance indices advanced 3.1% and 1.0% respectively as investors took position in SEPLAT (+2.3%), OANDO (+9.7%), and AIICO (+8.3%).
Investor sentiment, as measured by market breadth (advance/decline ratio), firmed up to 1.2x from 0.7x as 22 stocks gained while 17 stocks lost. BUAFOODS (+10.0%), AIRTELAF (+10.0%), and OANDO (+9.7%) led gainers while UNITYBNK (-9.6%), ROYALEX (-9.4%), and REGALINS (-8.2%) led decliners. In the next trading session, we expect market to sustain its bullish run on improved sentiment.
Market Statistics for Wednesday, 5th January 2022
| Market Cap (N’bn) | 23,426.5 |
| Market Cap (US$’bn) | 57.0 |
| NGX All-Share Index | 43,476.75 |
| Daily Performance % | 1.0 |
| WTD Performance % | 1.8 |
| MTD Performance % | 1.8 |
| QTD Performance % | 1.8 |
| YTD Performance % | 1.8 |
| Daily Volume (Million) | 1,240.9 |
| Daily Value (N’bn) | 43.0 |
| Daily Value (US$’m) | 104.5 |
