Geregu Power Plc witnessed investors’ negative sentiment first time after listing on the Nigerian Exchange Group (NGX) resulting in the stock recording a loss of 9.02% or N27.250 billion following sustained bearish market occasioned by the build-up to the 2023 general elections and interest rate hike.
Nigerian Exchange Limited (NGX) announced the listing by the introduction of the power firm on the Main Board of The Exchange on Wednesday, 5 October 2022.
A total of 2.5 billion ordinary shares of Geregu were listed at N100 per share, under the Utilities sector 2 and Electric Power Generation sub-sector of NGX, with the trading symbol, GEREGU.
Geregu Power, a leading power generation company (GenCo) in Nigeria, was the first GenCo to be listed on the NGX Main Board, a listing segment for well-established companies with demonstrable records of accomplishments.
- The listing of Geregu’s shares has added N250 billion to the market capitalization of NGX, further boosting liquidity in the Nigerian capital market and providing opportunities for wealth creation.
Checks by Nairametrics showed that the company which was listed at N100 per share and N250 billion in market capitalization grew to N120.90 per share and N302.250 billion in market capitalization, at the close of transactions on Wednesday 12th.
- However, at the close of business today the company’s share dropped by 9.02% or N27.250 billion.
- Further analysis showed that 1.2 million worth of the shares were traded in 196 deals.
- The stock market had maintained bearish profile as the NGX All-Share Index dropped by 0.02 or 7.46 basis points to close at 47,524.38 index points as against 47,531.84 points recorded the previous day trading. The market breadth however closed positive as with 10 losers led by UACN Plc with 9.76% as against 14 gainers led by Honeywell Flour Mills Plc with a gain of 9.79%.
