Fidelity Bank Plc has notified the Nigerian Stock Exchange that Chief Charles Umolu, a Non-Executive Director in the bank, has acquired 3,138,000 additional units of Fidelity Bank shares, worth ₦8.8 million.
In line with the Nigerian Stock Exchange policy on insider dealing, the formal disclosure was made by the Bank’s Secretary, Ezinwa Unuigboje.
According to the disclosure, Chief Umolu acquired the additional 3,138,000 units of Fidelity Bank shares in three transactions, at an average share price of ₦2.8 per share.
This put the total consideration for the shares purchased by the non-executive director by at ₦8,876,740.00.
Fidelity Bank Plc’s shares closed the week at ₦2.89 per share on Friday the 13th of November, 2020. This price, however, is 92.7% higher than its 52-week low of ₦1.50.
Why this matters
Dealings by insiders of listed companies are corporate actions to be disclosed, as required by the Nigerian Stock Exchange. Reporting the trade is part of the transparency required by the Exchange and compliance of the bank.
Trade by insiders, particularly purchases, often demonstrates confidence in the financial performance of the companies that they run.