FBN Holdings joins GTCO, Zenith Bank in N1trn market cap
The share price of FBN Holdings one of Nigeria’s oldest banks crossed the N1 trillion market capitalization on Wednesday.
This is after back-to-back gains of about 10% sent the share price soaring this week. By hitting the N1 trillion market cap.
FBNH now officially joins the SWOOTs, an acronym for Stocks Worth Over One Trillion Market Capitalization.
As at 10.34 am on Wednesday, the FBNH has gained 9.91% or N2.65 to hit N1.056 trillion in market capitalization.
Other members of rhetorical SWOOT include Dangote Cement, Airtel Africa, MTN and BUA Cement. Also included are BUA Foods, Seplat and most recently Zenith Bank and GTCO.
FBN Holdings surge started in 2022 after billionaire investor Femi Otedola announced he had secured majority holding in the bank. The announced kick-started a frenzy for the stocks as investors started scrambling to acquire the stock.
At the time, FBNH was trading for just under N6 per share indicating that it has gained 4 folds since the billionaire announced his acquisition of the stock.
Femi Otedola’s acquisition of companies is often synonymous with improved market perception for stocks leading to higher valuations. This happened with Forte Oil when the share price also surged in 2014. The same also happened with Transcorp when he made the announcement early in the year that he had purchased a significant stake.
The billionaire power company, Geregu Power is also close to hitting the N1 trillion market capitalization mark.
FBNHoldings Plc announced the release of its third-quarter financial statements for the period ending 30th September 2023.
The Group’s profit before tax was up 156.3per cent to N270.3 billion from N105.5 billion posted in 2022, driven by strong growth in interest income.
According to the group’s financial statements for nine months, the company’s profit after tax (PAT) was N236.4 billion, a 159,2 per cent increase from the N91.2 billion recorded in the corresponding period in 2022
