AGS NEWS – Stock market investors in Nigeria witnessed a significant loss of N252 billion as the Nigerian Exchange continued its downward trend in trading on Thursday.

This decline follows a total loss of about N467 billion between Tuesday and Thursday, with the market reacting to the news of an impending increase in the capital requirements for banks in the country.

According to Meristem Research, most banks are expected to pursue rights issues as a means of recapitalization, with an estimated total of NGN3.57 trillion to be raised within 24 months.

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Notable banks such as FBN Holdings, Fidelity Bank, Wema Bank, and Access Holdings have already signaled their intent to raise capital through rights issues and private placements.

This move is anticipated to stimulate increased activities in the capital market.

At the close of trading on Thursday, the All-Share Index dipped by 0.43 percent to 103,736.08, while market capitalization also dropped by the same percentage to N58.65 trillion.

Transaction volume increased by 20.42 percent to 487.73 million units valued at N15.63 billion across 8,908 deals.

Sector-wise, there were mixed performances, with declines observed in the banking and industrial goods sectors, while the insurance and consumer goods sectors saw gains. The Oil/Gas sector remained unchanged.

Among the gainers were Morison Industries Plc, SCOA, and International Energy Insurance, recording gains of 9.84 percent, 9.77 percent, and 9.72 percent, respectively. On the other hand, C&I Leasing led the losers’ chart with a 9.79 percent decline.

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Zenith Bank, Guaranty Trust Holding Company Plc, and United Bank for Africa dominated both the volume and value of traded equities, with Zenith Bank leading with 161.68 million units traded, valued at N7.03 billion across 527 deals.