NSE links market decline to the loss of N700b
The Nigerian Stock
Exchange (NSE) said the downward trend in the capital market is
traceable to the loss of N700 billion investors’ funds invested in
various Private Placement Offers (PPO).
Mr. Emmanuel
Ikazoboh, the NSE interim administrator, made the observation at the
listing of Multi-Trex Integrated Foods Plc on Monday in Lagos.
Mr. Ikazoboh said
the funds were invested during the boom period, prior to the 2008
financial crisis. He attributed the stock market decline to an
“estimated 40 percent divestment from the equity market to the various
private placements.”
The News Agency of
Nigeria (NAN) reports that Multi-Trex Integrated Foods listed by
introduction of 3.7 billion ordinary shares of 50k each at N3.00 per
share on the floor of the NSE.
“It is interesting to note that a good percentage of the trapped
money was from this exchange, as some investors sold their stocks to
invest them, as the PPO was very promising,” he said.
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