₦airaland Forum

KarlTom:
Wagwan TRANSCORP

138m+ so far

Lost 80 kobo in the first 30 minutes with N2b already traded.

So many Transcorp dumpers lined up to dump, 75% of which are eyeing +N18.9 exit price.

These directors are collecting in billions.
We can only know if these directors are adding to liquidity and not just taking quick profits, if their outstanding holding are stated. NGX should state their outstanding holdings to make things clear.

Adinije:
Normally, FBNH should be competing with Access and ETI, but there seems to be a never-ending power-play going on.

In terms of dividend payment FBNH may indeed be competing with ETI or even FCMB sef
In terms of book value per share, nah Access and ETI be him true mate.
But with Ote$ as chairman, FBNH can compete with Zenith in share price as Zenith dey slack for share price side.

Adinije:
I wonder why Zenith is lagging behind. I was expecting it to be closing up to gtco at probably around 38/39.

I thought FBNH will catch Zenith again at least for a day. But Zenith gbe bodi and gained N2.2 to close at N36.2 while FBNH lost 40kobo and closed at N32.

KarlTom:
Banking Sector AFS should start coming out soon..

I suspect some FPI's may be eyeing them. Now that they took positions in money markets in February, it's likely the AFS is holding them back concerning bank shares.

megamart247:
Both Transcorp and OANDO will retest #10 the pump is over

I think the days of N10 or below for Transcorp are gone for good.

Oando can play up and down till 2022 & 23 results are released or the buy out case squashed. Whichever comes first.

FBNH bull come now. Come before market close and beat Zenith price once again.

stcool:
If they try that 10 kobo stuff, the price will drop heavily...maybe even back to sub N10

Growth companies are better off ploughing back profits for faster growth Hence they seem to have lower dividend yields.

Over time those selling cheaply at sub N10 if the price falls back that low, will realize they sold at giveaway when future EPS get bigger than the price at which they took profit hastily.

Mpeace:
This year, Dang food better pay.
If not nothing for me in terms of dividends.

Apart from seplat wey I get chinkili units, others no dey give shishi this year.:

Mtn, nascon, dangsugar, trancorp. No one dey give shishi as dividend.

Transcorp is a growth company that pays some dividends. Last year was 5kobo. And the year before that 2kobo. This year may be 10kobo

jadyclem:
Abeg chairman no vex, I just want ask you one more question:
How can we know companies that pays yearly dividend? Is there a website where we can check their yearly report before investing in their shares?

https://ngxgroup.com/exchange/data/corporate-actions/

There is a drop down on the page that allows you to see Dividend & Bonus declaration for year 2020 to 2024

yMcy56:
E Ku Market oo.

TRANSCORP relieving SUGAR/SALT of sell off...

Don't go too far away from TRANSCORP yet.......
Another stage is coming again.....
Those guys that bought @20.88 today are not stoopid....
* More picks @17.10*

Massive mop up of Transcorp ongoing. N4billion mopped up in first hour as panic dumping created mop up opportunity for Transcorp bulls.

How far will the Transcorp bull push up the price. Will the traders & profit takers bring down the price. Market forces at play.

Mpeace:
So Transcorp sold 43million units of transpower. Our accountants in the house, Pls where will the money go to?
Abi dem go use the money pay us special dividend?

The money will be used for re-investment in other promising subsidiaries now.

Abi how do you want Transcorp to grow its subsidiaries under the leadership of Africa's Champion for entrepreneurs - Tony Elumelu .

mails4funshi:
With this shareholding structure, should TRANSCORP be worth less than 50% of TRANSPOWER?

This assumes TransAfamPower does not exist and neither does the other subsidiaries of Transcorp.

In 2021 Transpower delivered half of the power contributions to Transcorp PLC profit before tax. The other half must have come from TransAfamPower.

Transcorp Plc has hidden values .

Not a buy advice. Do your DD.

KarlTom:
Many thought people will offload TRANSCORP today but...

And many did offload as over 200m units were sold at N3.2b.
Looks like big funds (who see the hidden value) bought it biding bullishly for it from offloaders

Those offloading Transcorp slowed down today. Bullish demand for it remain very strong. How far will this bull go ?

Mankind2024:
Nothing is good about MTNN.
They contributed to the sinking Nigeria Micro-economy.
Nigeria is just a nation where there is no NATIONALIST.
We forget things easily.
It was this same MTNN that illegally repatriated cash of billion dollars from Nigeria economy.


https://www.premiumtimesng.com/news/headlines/300849-untold-story-of-mtn-illicit-repatriation-of-billions-of-dollars-from-nigeria.html?tztc=1


https://www.google.com/amp/s/phys.org/news/2018-08-nigeria-safrica-mtn-refund-bln.amp

Forex loans can be used as a strategic means of timely repatriation of Forex profits back home. Foreign multinationals do this to hedge against losses to the original forex invested, as well as edge against losses to their retained profits in the local economy should the local economy slump. In this way they pass a chunk of risk to local investors while safeguarding their injected funds and some accrued profits.

I think going forwards, the FGN should strategically look for FDI's that generate forex income streams (like PRESCO) and expand Nigeria's forex income stream beyond oil&Gas.

Tpharell:
This phrase👇is what is driving Transcorp, I suppose

N2.8b traded in the first hour today. Let's see if a new high will be set this week.

yMcy56:
MTO: Mandatory Take Over
Take Over by TRANSCORP PLC
Why: Toreduce OS (Outstanding Shares)
For what Benefit: To create more value for shareholders

Someone else can add to it...

Is that not a long description of sharebuy back to reduce outstanding shares ? With the way prices have gone up looks tougher to do 4%. Maybe 1% will be done then.

yMcy56:
GEREGU @1000!
Ote$ baba pick race at the site of TRANSPOWER

The race the country needs right now is the production of more gas for local consumption and the building of more power plants
Perhaps the game is to get more big investors injecting money into these power businesses. Like AFDB & AFREXIM did last year with purchase of stakes and signing of plans with GEREGU.

Zegra:
A mandatory takeover offer is an offer made by one company to purchase some or all outstanding shares of another company.

Thanks. Was wondering what MTO of 1-4% concerning Transcorp Plc means. Take over by whom, why, for what benefit or reason ?

customstreet:
You are on point. The next two program of Transcorp Holdings in the near term are as follows

1. Do an MTO of say between 1%-4% as mandated by SEC

2. Share Reconstruction

These two, I am sure will happen from Grapevine

What does MTO stand for ?

aj8:
Why hidden? Isn’t it obvious?

2. Shareholders of TRANSCORP Group are not directly shareholders of TRANSCORP Power but have indirect interest through the group’s interest.
3. The previous earnings from dividends and scrip from TRANSCORP Power by TRANSCORP Group, already demonstrate that potential.
4. The catapulting of the valuation of TRANSCORP Power will of course increase that of TRANSCORP Group as long as the current price is below the offer price and the company remains profitable to accrue benefits to her shareholders of which TRANSCORP Group is a majority holder ( at least for now)
5. The capital raised would increase the financial strength of TRANSCORP Power to further undertake and expand their core business of power or whatever else their article allows them to engage in. This also would benefit the TRANSCORP Group .
6. I see huge gains to shareholders of TRANSCORP, as long as the Power space stays viable and profitable…already eluded by TOE in earlier responses that this spin off would happen once the space is right. Like he earlier did with TRANSCORP Hotel.
7. This is not the first of its kind within TRANSCORP Group. Similar occurred in 2015. The spin off of TRANSCORP Hotel from the Group. Mentioned above.

I do not own any shares of TRANSCORP Group but intend acquiring TRANSCORP Power shares. I believe it would at least match Geregu Power PLC if not outpace it.

That’s my take.

Hidden value in Transcorp not obvious to some based on their statements. Some are even writing as if Transcorp is not a majority shareholder in Transcorp Hotels. As if Transcorp shareholders were cheated in the listing of Transcorp Hotels and are being cheated in the listing of Transcorp Power.

I have Transcorp. I will not be buying Transcorp power. But if I had no Transcorp, I will consider buying Transcorp Power.

BabsO2:
Transcorp is a HOLD for me on Monday at current market price.

Transcorp reached an all time high of N19.2 on 18-January-2024.

Since Transcorp was listed, this same January 2024 recorded the highest Trade value of N26.3 billion with a trade volume of 1.75 billion shares. In other words 4.3% of Transcorp Plc changed hands this January at an average price of N15.02

In February N9.6 billion changed hands in Transcorp on the exchange.

If one follows the money, there is surely value in Transcorp PLC for such huge interest in January and February by big funds.

My Guess is Transcorp Plc will continue to own a fraction of Transcorp Power PLC that will be listed. It will continue to benefit from it fundamentally in terms of dividend income stream. It will also benefit from it when computing its Shareholder funds.

Key information we need to record are ownership fractions before and after listing ?

Transcorp PLC has the following % ownerships in subsidiaries.
-----------------------------------------------------------------% holding-----------2022-----------2021----------2020
Transcorp Hotels Plc---------------------------------------------------------------76.2 % ------76.2 %--------83.6%
Transcorp Power Limited---------------------------------------------------------51.02 %----- 50.9 %------50.9%
Transcorp Energy Limited Exploration of petroleum product--------99.0 %----- 99.0 %-------99.0%
TransAfam Power Limited Power generation------------------------------ 95.0 % -----95.0 %-------95.0%
Transcorp Properties Limited Building---------------------------------------100.0 % ----100.0 %-----100.0%
Transcorp OPL 281 Nigeria Limited------------------------------------------- 100.00% ---100.00%----100.0%
Terago Commodities Limited------------------------------------------------------95.00% ----95.00%-----95.0%
Transcorp Refining Company Limited------------------------------------------ 100.0 % ----100.0 %---100.0%
Transcorp Trading and Logistics Limited------------------------------------- 100.0 % -----100.0 %----100.0%
Transcorp Telecomms Limited---------------------------------------------------- 100.0 % ----100.0 %----100.0%
Aura by Transcorp Hotel Limited---------------------------------------------------20.0 % ------20.0 %-------0.0%

NB 1 - Transcorp sold some units of Transcorp Hotel Plc in 2021 at N5.43 that's why its holding's there dropped slightly in 2021. Wish it can sell a little right now in Transcorp Hotel at N90 to fund development of other subsidiaries Doing such will create value for Transcorp PLC shareholders in the coming years. I will give Tony a big thumbs up if he pulls such out in coming years.

NB 2 - Transcorp reinvested its dividend from Transcorp Power in 2022 thereby raising its % holding in so doing.

I see hidden value in Transcorp.

Not an investment advice. Do your DD!

Transcorp is a HOLD for me on Monday at current market price.

Transcorp reached an all time high of N19.2 on 18-January-2024.

Since Transcorp was listed, this same January 2024 recorded the highest Trade value of N26.3 billion with a trade volume of 1.75 billion shares. In other words 4.3% of Transcorp Plc changed hands this January at an average price of N15.02

In February N9.6 billion changed hands in Transcorp on the exchange.

If one follows the money, there is surely value in Transcorp PLC for such huge interest in January and February by big funds.

My Guess is Transcorp Plc will continue to own a fraction of Transcorp Power PLC that will be listed. It will continue to benefit from it fundamentally in terms of dividend income stream. It will also benefit from it when computing its Shareholder funds.

Key information we need to record are ownership fractions before and after listing ?

Streetinvestor2:
The market don dey make me vex.i was expecting the red to last till Friday oh.i was expecting green to come back on Monday.i was hoping to complete my bet on oando by Friday, lol.which kind yeye red for just a day after everything.

I checked a few minutes ago. All the available offers for OANDO were cleared. Silent mopping (betting) on Oando is ongoing.

Streetinvestor2:
I don't follow for bear thing. I still bought oando for #10 yesterday for my #20 from Wale.My transcorp bid at 12.50 still dey market and oando at #9 .
I no fit fall mugu for this market again. For now I am ok with the quantity in alhaji

I bought more Oando at N11 by selling FBNH at N34 this week as good swap prices came up.

Looks like some big funds are mopping up Bank shares. With the lead in FBNH. Some people may lose out selling cheaply if they are not skilled traders. I think Nigerian banks are still under-priced especially those that can reduce impairment losses in this tough times. Their book values will continue to soar along with their earnings per share. The only con I see is some people bad mouthing Nigeria Bank profits in this current clime. Luckily they are not in leadership positions in Government.

STOCKPICK:
Thank you so much Sir. This has made my day and it's convincing Enough. I have decided to leave it with my brokers. Thank you so much Sir. I appreciate you greatly

However note. The only risk I see of a bank or broker holding the bonds on one's behalf is the bonds are in their name (and they managed it as a mini fund sort of). Thus it's good to buy through a reputable broker or solid bank and not one that can fold up. Also one needs to keep his or her records for proof purposes.

STOCKPICK:
Sir, please what do CSCS charge as custody fee for FGN bonds moved from my bank to my CSCS. Are there other charges Sir? Thank you Sir

Note: There is a poor market for bonds through CSCS. But through the bank holding it there is a good market. This note is needed if one changes mind and need to sell in future.

Also CSCS held bond do suffer prompt coupon payment sometimes and one may have to go back and forth to claim missed coupons.

At expiration redemption one needs to complete forms for CSCS held bonds. Unlike bank held bonds that doesn't entail such stress.

These were my experiences with CSCS held bonds. Perhaps things might improve over time. These issues make me to prefer bank managed bonds.

I see the market staying green for the rest of the year. However, a couple of stocks may suffer. Some traders may create panic sell-offs also.

Market staying green for the year is premised on CBN succeeding with exchange rate below N1,600 and increased food production during this planting season. However, if exchange rate continues on upwards journey, that is a bad signal for the market. Or if more insecurity is recorded in farms that's another bad signal.

sterlingD:
But what about government itself the economic team (Minister of finace and co ...etc when CBN plays its card they should play their card to strike a balance and balance up

I believe Mr Market is watching all of them closely and will respond ahead of economic data releases That means if Mr Market senses things are going to get worse some months ahead with companies earning less and less money, Mr Market will start going down today. However if he sees increasing Naira earnings per share and increasing valuations months ahead, Mr Market will start rising today

thebargainhunte:
The bolded no follow at all except there is unforseen circumstances and not MPR above 22%. Even the increase cannot last that long or else what we will have is a battered economy.

Agree with you on this. MPR at 22% (with a wide margin of +1%/-7%) cannot keep interest rates at +20% for more than 2 to 3 months without severe damage to the economy from a non-enduring monetary policy. CBN needs to tread cautiously.

yMcy56:
FBNH got close to ZEE and retraced for the 2nd time......
The Elephant may still stage a comeback again in near future. Some strong forces seems to be behind the wheels. Lol.
Na my amateur opinion oo.

Many waited for FBNH bull to lift it to N36 today with less than N1b sef. But the bull no show today. Rather the bears danced, pulling the price down a full 10% with smaller money. Make the FBNH bull return joor.