Shares of insurance companies have continued to shed weight following the implementation of the new pricing rule by the Nigerian Stock Exchange, NSE, resulting in loss of N135 billion in investors’ investment.
The new pricing rules effectively removed the previous floor price of 50kobo, that had prevented companies that their share prices had traded as par value (50kobo) from falling below the ceiling, allowing stocks to now fall to as low as one kobo per share.
At the close of transactions today 34 companies recorded losses with seven insurance companies making the list.
Breakdown of the day’s trading shows that Unic Insurance led the losers, depreciating by 8.70 percent to close at N0.42 from N0.46 per share, followed by Hallmark Insurance with loss of 8.33 percent to close at N0.44 from No.48 per share.
Skye Bank Plc closed as the third on the list, depreciating by 5.59 percent to close at N1.35 from N1.43, while Lasaco Assurance Plc and Forte Oil Plc closed as the last on the top five losers table, declining by 5.56 percent to close at N0.34 from N9.36 and 4.95 percent to close at N46.05 from N48.45 per share respectively.
On the other hand, 22 stocks appreciated in price led by Aiico Insurance Plc with ten percent increase to close at N0.88 from N0.80, followed by Prestige Assurance Plc with 8.33 percent increase to close at N0.52 from N0.48, while Linkage Assurance Plc ranked third, rising by 5.88 percent to close at N0.72 from N0.68 per share.
NPF Micro-finance Bank Plc was the fourth with 4.86 percent increase to close at N1.94 from N1.85, Caverton Offshore Group Plc closed as the fifth on the top five gainers, appreciating by 4.84 percent to close at N2.60 from N2.48 per share.