Lusaka Stock Exchange post K152bn turnover
THE Lusaka Stock Exchange (LuSE) last month recorded an impressive activity posting a five-fold turnover of K152.6 billion.
The turnover has been boosted by the completion of a merger transaction of Arcades Development and Real Estate Investment Zambia (REIZ).
REIZ acquired 8,100,000 ordinary shares in Arcades, being the total 100 percent issued share capital of Arcades on March 9, 2012.
About 13, 714,286 new REIZ shares were issued to Arcades shareholders and listed on the LuSE.
According to LuSE monthly news flash ending March 31, 2012, overall trading occurred in 20 listed companies out of which Arcades accounted for the largest turnover of over K120 billion.
This is after 8,100,000 shares were transacted in only one trade at a closing share price of K14, 815.
This represented a change of 472 percent from the previous month which recorded a 67.10 percent change.
LuSE says over 46,042,889 shares were transacted in 494 trades yielding K152, 613,493,337 in March compared to only 28,365,056 shares that exchanged hands in 462 trades resulting in turnover of K26.4 billion.
A summary of trading statistics shows African Explosives, Bata Shoe, Puma Energy Zambia, British American Tobacco, Cavmont Capital Holdings, Copperbelt Energy Corporation (CEC), Lafarge, Investrust Bank, National Breweries, Pamodzi and Shoprite as some listed companies that participated in trading activity.
Other firms were Standard Chartered Bank, Metal Fabricators of Zambia, Zambeef, Zambia Sugar, Zambian Breweries and Zanaco, Arcades and Real Estate Investment Zambia (REIZ).
In terms of domestic and foreign participation the table shows higher domestic than foreign activity.
LuSE graph indicates that over K141.6 billion (US$26,397,140 equivalent) turnover was earned from domestic activity compared to K10.9 billion realised from foreign activity.
On the market capitalization, the table shows a slight increase to K46.4 billion in March from K46.2 billion in February.
Meanwhile, the index which measures performance of stock on the stock market slightly increased to 3,925.56 points in March from 3,875.63 points in February.
Recently REIZ board announced the completion of the offer after a technical committee of the Competition and Consumer Protection (CCPC) gave the parties authority to proceed with the transaction while it awaited a full board of commission meeting.
Based on the interim approval from CCPC, in accordance with market practice, the boards of Arcades and REIZ agreed to proceed to conclude the merger.