News in brief:
– Okomu Oil Palm and Presco saw their stock prices rise by 9.97% and 15.3% respectively on the Nigerian Stock Exchange in the past week.
– FTN Cocoa Processors’ stock price surged by 20%, recovering from a previous decline, while Ellah Lakes and Livestock Feeds saw stock price drops of 8.13% and 1%, respectively.
Agricultural giants, Okomu Oil Palm and Presco, see their stock prices rise on the Nigerian stock exchange (NGX) during the past week ending on 10 May 2024.
Palm oil producer, Okomu, had been in the news after its managing director lamented the negative impact of insecurity on its production activities in Edo state. Speaking to the press, Graham Hefer, said that militants had been launching attacks at their plantation and a recent one resulted in the death of three employees.
Despite the news, and rumours of a possible shutdown, the company’s stock price rose by 9.97% during the preiod under consideration. Meanwhile, Presco, which is also in the palm oil business, recorded an increase of 15.3%.
Recall that in March 2024, Presco’s over 50,000 hectares of plantation and several milling facilities came under the majority ownership of Oak and Saffron, backed by Saro Africa International’s Rasheed Sarumi. The deal was significant as it marked the end of an over 30-year majority stake ownership by foreign investors at Siat N.V, which is based on Brussels, Belgium.
A news report also mentioned that Presco plans to pay a total of ₦26.3 billion in dividend to shareholders for the financial year that ended in December 2023. This dividend represents an increase of 199% from the ₦8.8 billion it paid out in 2022.
FTN Cocoa Processors, which had reported zero revenue in 2023, saw its stock price rise by 20% during the past week. It had posted a decrease in price of over 6% the week before as well. Ellah Lakes saw its stock prices drop by 8.13% after recording increments for two consecutive weeks on the NGX. Meanwhile, Livestock Feeds, witnessed a stock price drop of a little over 1%. Note that Livestock Feeds Plc had announced a profit growth of 774.37% to ₦181.064 million from ₦20.708 million, between the first quarters of 2023 and 2024.
In terms of volume traded, agricultural companies saw an increment with more than 65.6 million shares traded during the period. This volume is the highest in the last five weeks, according to data from the Nigerian stock exchange platform.
