US investor continues sell off of NGX Group shares during poorest quarter

Miri Strategic Emerging Markets Fund LP, a substantial shareholder of Nigerian Exchange Group (NGX Group), visited the exchange floor of the Nigerian stock market to offload another set of shares held in the firm.

The United States-based fund sold 23,500,000 units of shares held in Nigerian Exchange Group, according to a filing obtained from the capital market authority, Nigerian Exchange Limited (NGX).

Ripples Nigeria gathered that the US investor pool fund sold the shares at the cost of N16.77 kobo per share, to take out N394.09 million last month, on September 28, 2022.

This is the second share dump by Miri Strategic Emerging Markets within one month, after selling 1.5 million shares on September 16, 2022, taking out N29.64 million from the firm.

The latest sell off by the US investor falls below the 25,423,999 units of shares sold by another substantial shareholder, Cardinal Stone Partners Limited, a Nigerian-owned fund.

READ ALSO:NGX Group fails to tender N35bn fundraising request amid disagreement with shareholders

Cardinal Stone Partners had sold off the 25.4 million shares to take out N457.63 million from NGX Group in the same month.

The sell off by Miri Strategic Emerging Markets and Cardinal Stone Partners in September came at a period investors’ confidence towards NGX Group declined in Q3, with the share losing -15.21% in value, sending the price down to N19.50 kobo from N23.

During the review period, NGX Group’s market valuation had fallen to N38.3 billion, from N45.17 billion, as N6.8 billion was wiped off its market value.

NGX Group had recorded its poorest stock market outing this year in the third quarter, recording its lowest share value of N17. Although the company’s capitalisation has risen to N41.2 billion as of Monday, October 18, 2022, with share price at N21.

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