The share price of MTN Nigeria Communications Plc continued to gain maximum for the third consecutive day after all of its 20.35bn units were listed on the Nigerian Stock Exchange (NSE) by introduction on Thursday
It rose by N10.85 or 9.98% on Monday, closing at the day’s high of N119.75 each, representing N29.75 or 33.05% rise from its N90 per share listing price, amidst insinuation of share price manipulation, especially as it was being actively sold off-market to desperate investors.
Following the 33% rise in share price, MTN Nigeria now has a market capitalization of N2.437tr, up by N605.546bn, or 33.05% from N1.835tr it was listed on Thursday, May 16, 2019.
The insinuation of share price manipulation has been blamed on the piecemeal share sale by existing shareholders to anxious potential shareholders that have waited for so long to become part owner of Nigeria’s biggest telecom business.
On Monday, a total of 51,401,660 units were crossed for N5.155bn, the highest in the past three days. On Thursday, the day it was listed, a total of 5,541,400 units were traded, closing at N99.00 each; followed by 32,098,599 shares on Friday at N108.90 per share.
This, therefore, is an indication that the supply bottleneck is gradually easing.
In an apparent bid to correct insinuations of underhand dealing in the shares, the NSE, announced Monday, that there were 16,260,100 units of the company’s shares crossed in nine deal via negotiated deals on Friday, May 17, 2019, at N125.00 per share.
The negotiation was done by Stanbic IBTC Stockbrokers representing both buyer and seller.