Nigeria’s stock market staged a strong rebound last week, adding more than N4.57 trillion to investors’ wealth despite the ongoing N2.2 trillion initial public offering (IPO) of Dangote Petroleum Refinery and Petrochemicals.
The recovery came after the Nigerian Exchange Limited (NGX) lost about N1.9 trillion in the previous week amid widespread profit-taking across major stocks.
The NGX market capitalisation rose from N157.587 trillion to N162.157 trillion, representing a gain of about N4.57 trillion during the five trading sessions.
The benchmark NGX All-Share Index (ASI) also advanced from 243,052.74 points to 249,804.56 points, gaining 6,751.82 points, or 2.78 per cent, over the week.
The rebound was supported by renewed buying interest in selected large- and medium-capitalised stocks, with analysts saying investors appeared to be returning to the secondary market despite the huge demand generated by the Dangote Refinery IPO.
Trading activity also remained substantial. A total of 3.249 billion shares, valued at N237.986 billion, changed hands in 287,919 deals during the week.
The Financial Services sector dominated trading by volume, accounting for about 79.43 per cent of total equity turnover, while the Services and ICT sectors followed. Fidelity Bank, Sterling Financial Holdings and Mutual Benefits Assurance were among the most actively traded stocks.
The market’s recovery comes as investors continue to pour funds into the Dangote Refinery IPO, which opened on 14 September at N525 per share, with a minimum subscription of 10 shares worth N5,250. The offer is scheduled to remain open until 13 October 2026.
The IPO has generated significant retail investor interest, with several digital investment platforms experiencing heavy traffic following the launch. Reuters reported that some platforms recorded sharp increases in demand as investors rushed to participate in what is being described as Africa’s largest-ever share offering.
Analysts at InvestData Consulting Limited said the latest improvement showed that the NGX was recovering from the weakness recorded earlier in the month, although investors could remain cautious as the All-Share Index approaches the 250,000-point level.
They said sustained buying in large-capitalised stocks could support further gains, while concentration of buying in only a few stocks could make it difficult for the broader market to maintain the pace of the recovery.
The latest performance therefore leaves the Nigerian equities market at a significant point, with investors weighing the opportunities presented by the Dangote Refinery IPO alongside continued movements in already-listed equities.
