DEC 18, 2018: SCRAMBLE FOR ACCESS BANK AT NIGERIAN SE

At the Nigerian Stock Exchange there has been increased demand for Access Bank shares since the announcement of the take over of Diamond Bank was announced Monday December 17, 2018.

Even though the merger is yet to have the formal  blessing of the Central Bank of Nigeria;  particularly, the Securities and Exchange Commission and the shareholders of both banks, that it has been agreed upon by both boards of directors was sure deal enough to wet investors appetite.

On Monday, itself, for the first time in a long while Access Bank recorded 2nd highest number of deals struck for the day with 254 deals for 13.615m shares closely behind GTB's 306 deals for 10.605m shares.

Come Tuesday, it had obviously become a scramble as Access Bank witnessed day high 421 deals for 22.208m shares even while losing N0.45 per share.

Apart from being the day's high, it was quite a leap from only 98 deals struck on December 12 for for Access Bank  21.013m shares; 86 deals witnessed on December 14 for 18.152m shares and 99 deals recorded on December 13 involving 24.1m shares.

Hitherto market leaders in terms of investors interest as indicated by number of deals struck were Zenith Bank more consistently the pace setter, FBN Holdings elbowing a few times, GTB and Sterling Bank most times when good parcels were traded.

Now on Monday, there was volume pacing offload of 102.386m shares of Zenith Bank but in 286 deals, not comparable at all to Access Bank runnaway 421 deals.

Zenith also paced traded value though with the offloaded shares being worth N2.344bn, almost half of the total N5.090bn traded value recorded while the offloaded Zenith shares were not up to one-third of the day's 316.199 shares traded.

Naturally, after yesterday's offload, trade in Diamond Bank, the one to be swallowed in the merger, dipped to just 27 deals for 2.235m shares worth N2.548m at N1.14 per share.

Other major trades for the day, were AXA Mansard's recorded 13 deals for 40.057m shares worth N80.119m; La Farge Africa's 25.905m shares traded in 193 deals for N309.474m and GTB's 15.970m shares exchanged in 261 deals worth N553.783m while gaining N0.95 or 2.79% per share.

The All share index recovered from Monday's down turn by closing up 0.70% to 30,822.33 mainly as 11 Plc, Dangote Cement and Forte Oil paced gains fairly strongly.

11 Plc topped with N13.4 or 8.56% per share gain as it recorded 41 deals for 0.406m shares worth N68.701m; DangCem followed with N4 or 2.16% per share increase amidst 77 deals involving 1.309m units valued at N244.758m while Forte Oil rose by N2.15 or 9.91% per share while 68 deals were struck for 0.449m shares worth N10.647m.

Decline margins in Naira were not that high because Nigerian Breweries paced downwards with N2.7 or 3.40% per share while witnessing 59 deals for 0.149m shares worth N11.712m and both Unilever Nigeria and Guinness Nigeria supported with N1.05 and 1.00 per share decline respectively.

Hence, the ASI rallied hinting at down today and up tomorrow, once again?

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