Dangote Cement Plc shares gained N605 billion in just a week amid positive sentiment on the floor of the Nigerian Stock Exchange, following the news of the company’s share buyback plans.
This was uncovered by Nairametrics, after tracking the performance of the shares of Dangote Cement Plc on the floor of the Nigerian Stock Exchange, from last Friday, 18th December 2020 and Thursday, 24th December 2020.
The checks revealed that the 17,040,507,405 ordinary shares of the company have gained N604.94billion largely on the back of news of the company’s share buyback plans.
This means that the shares of the largest cement manufacturer, with a total installed production capacity of 48.6 million tonnes per annum, has increased by 16.945%, from N204.59 at the close of trade on Friday 18th December 2020 to N245 at the close of trade on Thursday 24th of December 2020. What you should know
Nairametrics reported on Monday that Dangote Cement Plc announced the commencement of its share buy-back programme, under the approval granted by the Company’s shareholders at the Extraordinary General Meeting of DCP, held on 21 January 2020.
According to the information contained in the announcement issued by the company on Monday morning before trading hours, the approved brokers of the company under the Share Buy-Back Programme would purchase up to 85,202,537 fully paid-up ordinary shares of 50 Kobo each, representing 0.5% of the entire current issued shares of 17,040,507,404 ordinary shares.
In a follow up news report, Nairametrics reported on Monday that shares of Dangote Cement Plc gained 10% in the first one hour of trading, largely on the back of news of the company’s share buyback plans.
According to the report, checks by Nairametrics as of 11.30 am on Monday, 21 December 2020, revealed that bids of about 5.5 million shares were tabled without a single offer on the table.
