The NGX-Banking Index nosedived 0.12% week on week (W-o-W) to close at 856.20. Amid Tier 1 banks, GTCO and ETI sustained upward share price movements, resulting in positive year-to-date (YTD) returns. Conversely, the share prices of other banks have trended downward. Specifically, Access Corp, UBA, FBNH, and Zenith have witnessed YTD returns decline, coming to -18.79%, -8.38%, -6.37%, and -2.98%, respectively.
Among the Tier 2 banks, only Wema Bank and FCMB recorded year-to-date gains of 15.18% and 4.05%, respectively. On the other hand, the remaining banks experienced significant declines in their share prices. Sterling Bank and Stanbic IBTC Holdings saw their YTD returns fall to -37.89% and -16.15%, respectively (see Table 1 below).
ETI and UBA, both Tier 1 banks, saw their share prices rise during the week, while the other banks saw a decline. Access Corp, Zenith, FBNH, and GTCO fell to -1.05%, -1.96%, -2.00%, and -0.22%, respectively (see chart 1 below).
Chart 1
FCMB, a Tier 2 bank, had an unchanged share price for the week. Sterling Bank’s share price slipped -2.44% to N4.00, while Stanbic, Fidelity, and Wema surged 2.64%, 1.42%, and 2.38% in their share prices, respectively (see chart 2 below).
Wema Bank Plc held its first half-year 2024 conference call on September 1st, 2024, explaining its plans to raise N150bn new capital through a hybrid of rights issuance, public offer, and private placement. The capital raise is still in process; the start and closing dates are yet to be announced. Until new announcements are made, the initial capital raise stands at N200bn. (
