₦airaland Forum

heres the prospectus for diamond's gdr: http://www.vetiva.com/Domestic_Prospectus.pdf,
looks like the gdr is slightly cheaper
Crusader's inching higher and Mbenefits hasn't taken too much of a beating,

wanaj0:
Just confirmed that MTNI and some Nigerian shareholders are selling offering the shares for sale via private placment. Not sure the details are firmed up. Minimum is $10m for financial institutions and $5m for others. Total amount is in the range of $300m and $1bn. IBTC to be the issuing house. Offer to open 7th of December. Prospectus also not yet out.

Trustees will be formed by most companies to pool resources together and form an investment vehicle

thx for the info, pls keep it coming

@aktopgun
i think thats part of the underwriting requirements, since the offer was underwritten by both first inland and futureview.
the offer was for 5 billion, the legal requirement is 80% which gives us the 4 billion that they pledged.

wanaj0:
Learnt MTN is doing a private placement. $2m minimum. But people can team up together to buy. Anyone with more info?

this is a real mouthwatering one o,
anybody with info on this bank breaking gist..did u jus say 2 million american dollars?

In retrospect, these results have not been all that bad.

Mutual Benefits posted 450m half year profit, that should give a projected PAT of 675m in 9 months.
the results they posted are not far off from that.
The problem with the result is that the market had much higher expectations. Nigerian Securities and most other sites like that do not give justification for their projected PATs and many of them are suspect so i don't buy that column of their data.

Same scenario for Crusader, its 1st quarter PAT was 200m, then we had that superduper totally unexpected 600m PAT for half year that created even higher expectations but what they have given now, while dissappointing is not far off from from was initially expected before the distortion of the half year results

Again it boils down to investing objectives. If you've got christmas on your mind sell! Most likely you will will be in the blue.
If you bought at a safe price and you are thinking of a longer term, by all means hold, the results are not spectacular but neither are they disastrous. And the capitalization is gradually being defined properly. If insurance depresses again, i will be gladly waiting to buy.

@robroy
where have you been?
i am also waiting for that aiico po.

wat has happened has happened so i am not condemning you. that does no good.
But u have a responsibility to take good care of that child and her mother.

Yes u dun love her anymore, you dun have to keep sleeping with her.
But you have to set them up properly,

@shigidi
I had a feeling you were out there

With insurance, the story na "fighting temptations", sell today or tomoro or the next, but i don't see the stocks reverting to those miserable lows again.

No doubt, Diamond's figures are good.
The problem is that the gdrs which most likely are convetible might not keep pace with the nse listed units, there are so many foreign stocks listed on the lse and trading on the gtb gdr is currently so thin.
If diamond did a po which is more straightforward, i would expect the short term returns to be much higher than this path they have decided to thread.

Yes there is a good argument that the movement of insurance companies will be stunted in the short term,
However, don't you think that the moneys being released would impact these companies bottom lines and create avenues for even more exponential growth? i think this plane has taken off. Just think what mbenefits can do with 4 billion naira, cornerstone with 5 billion naira, need i go on?

I have had a look at Bank phb's prospectus and it is very well priced and definitely has my vote and money.

Access' numbers look good, Gtb's are not bad either.

But for short term, i am only looking at insurance right now: thr's simply nothing hotter!
they have opened 5% higher again this morning.
It seems common sense has prevailed over how one man (jimoh ibrahim) was throwing stones into the cog wheel of the capitalisation process.

I bet if Aiico knew that the money would be released this soon, they would have postponed their offer and get a better deal in the process.
Suddenly aiico's public offer at 2.2 naira looks like a solid bargain.

@shigidi(if you are out there)
I am not sure that raising all the funds through gdr is the best road for diamond bank o.
It could stiffle the potential for capital appreciation, jus look at gtb.
Havin said that, diamond's numbers are very good, its the gdr part that does not make too much short term sense.

frankiriri:
Easimoni said the Bagco PO is the most expensive but I don't agree. Their forward PE is just 22 and this is for the year ending March 2008 which is just around the corner. Dangote flour had a higher PE than that. The money is to be used to pay off the debt so all that interest paid will become available to the shareholders.
I also think that comparing companies in different industries is like comparing apples and Carrots . Bagco should be compared to companies within its area of business.They have a stable market and thus cannot be compared with other somewhat more profitable but more risky investments.
So for me, as a conservative long term investor the stock represents a fair buy- especially now that the secondary market seems to be recovering from its bearish state.

You definitely have a point there.
Its a diff industry, a stable company, seemingly percieved lesser risk.
I just think they could have done much better with the pricing of the offer. (Yes i know its a great business, a great brand name but they dun plan to reward investors with a lot in terms of dividends)
According to the forecasts there's very little or no growth expected between 2009 and 2010.
The main diff is that dangote had more ambitous forecasts to nullify the huge premium (dint like the dangote offer though).

Zenith projects 6.66 in 7 months, thats a pe of 23 using 2010 forecast eps (some would call that a forward-forward-foward pe ).
This is definitely not a growth stock.
But it should be a profitable investment in any case, the question is matching the expected returns to individual investor's objectives.

joshjosh:
vey well said. i bought some bank shares in the the 80s and travelled abroad by the time i came back they banks have either closed or in now in private hands.

ba very careful indeed

By my calculations, you bought bank shares anywhere from 20- 27 years ago.
At the minimum you shld have been monitoring such investments annually.
So its you to blame not the banks o.
Besides, how come u bought only the banks that did not survive publicly?

i dun mean to be rude but even a child born 20 years ago would have changed immensely.
Long term investment is good but one should watch his holdings irrespective of travel o.

easimoni:
(thank God for Wema bank)

lol, that is very true and funny

easimoni:
Some banks? More like all banks except First Inland and Spring. Bagco is the most expensive offer I've looked at this year. Not even close.

easi
looks like first inland have got something up their sleeves.
i know their current figures are shitty but i'd like to see their prospectus b4 finally crossing the bank out.

shig
you are havin too much fun mate
dun tell me its the bull market

@pumping
pls can u send me the phb prospectus ?
temietope at gmail.com

@fatherof2
i have always said, if something works for you, stick to it so i am happy you have a system that works for you.
The problem however arises in when you take what works for you and you try to turn it into a universal principle.
Trading on rumors is hardly a proven recipe for success.

Back to the market.
Insurance is still flying high.
The bulls are currently running things: very few stocks lost today.
I'll be happy to start taking profit next week in any case

@adeyinkat
your sentiments abt insurance are quite right.
What we are seeing now is everyone being a winner.
The boys will separate from the men in insurance soon, thats where brains come in.


On wema, it depends on you and what your strategy is again
if its a short term play, u run out before TS and buy a christmas turkey ,
if you are convinced that the company holds much more value than 15 (which really is the case),
and your portfolio is resonably diversified, buy all means HOLD.
Its too cheap to flog, I dont see Wema ever goin back to the days of 10 again.

aktopgun:
on insurance stocks, that sector is known not for capital appreciation really

Just go and find out how much these insurance stocks sold for during their public offers last year, and you will realise that this year has belonged to insurance as much as banking in terms of capital appreciation

This thread is officially on fire!
i was gone 5 hours and theres more pages than i can read.

It seems the rumour of a foreign investor definitely had meat then. It'll be interesting to see how this plays out. I'm staying put.
Attention jumps to Insurance, this is like having your bread buttered on both sides

I don't do crystal balls but with the pattern in the market currently, i think another bull run is just around the corner.

the insurance companies picked up very well today. Looks like the consolidation news is catching up.

@naijadr
whats uba stockbrokers like? are they timely in executin orders?

@ololufemi
Do you work with Zenith?
because u must have mentioned this zenith offer like 10 times.

ikeja hotels gained max today, 14 deals, easimoni and pumping, why do i think u are the ones buying?

But the real story of the day is ubn and wema trading over 10 billion naira each.

Wema's result is the bomb!!!
Few months ago, when i was shouting "buy wema!", i was predicting a full year part of 6.4B based on qtr1 result of 1.6B,
Now, their half year result is even more than my projected PAT.
Enjoy your loot, people!!!

[quote author=no_shaking link=topic=31554.msg1671743#msg1671743 date=1194862001]WEMA H2 Results out!

2007 2006
T/O 20.5b 11.75b
PBT 7.61b 4.24b
PAT 6.47b 3.39b

Nice one! Very pleasing to my eyes . Now on target to hit N15 soon![/quote]that sounds sweet.
where did you get this info?

Roland E:
PLEASE ANY NEWS ABOUT WHEN OCEANIC CERTIFICATE WILL BE OUT?
COS I BOUGHT 155,000 SHARES. I,M DESPERATE AND WAITING TO GET MINE.
SINCE I,M BASED IN THE UK. SO I NEED TO MONITOR MY INVESTMENT.
THANKS N GOD BLESS You ALL.

looks like the certs are out

True talk.
There is only ONE Cristano RONALDO!!!!

@yodiyokun
FirstInland is somewhat similar to wema,
poor result, lotsa write downs. I wont be surprised if we eventually see a current year result shines.

@shigidi
What can i say? the market is gettin too interesting

Geebaba:
« #4279 on: Today at 11:14:35 AM »

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hi everyone, respects to all the gurus in the hse,shigidi, roughcut, easimoni,gees, temmie et al, u guys av been doing a great job
can anyone give a light into the supposed merger of sterling and ecobank, what effects will it have on their share value.
i av some sterling shares, just to know what to do now that they av been placed on technical suspension



guys some shld comment on my request now,shigidi, roughcut, easimoni,gees, temmie et al

It depends on the details of the merger (exchange ratio).
Those details are not available yet so the best u'll probably get now is speculation.
The details will come out clearer by the day though,
I dun think theres any cause to panic. what price did you buy your sterling shares?