Day two of trading this week and all indicators, but equity turnover pointed north. The NSE-20 Share index edged up by 0.12% to close at 3994.88 points while the NSE-25 Share Index similarly gained by 0.22% to close at 4170.80 points. The Nairobi All Share Index (NASI) followed suit, improving marginally by 0.30% to close at 144.04 points. Equity turnover contracted by 14.53% to close at KES 0.802 Billion whilst the market capitalization expanded by 0.30% to settle at KES 2.026 Trillion. The A/D ratio strengthened from Monday’s close to perch at 0.81x despite the decliners-21, failure to outweigh the advancers-17.
Increased debt levels have carried majority of corporates financial books listed due to the harsh business environments which have triggered them to borrow heavily to finance their operations. Listed retailer, Uchumi Supermarkets Ltd (NSE: UCHM) is set to receive a KES 500 Million bridging short term loan from KCB Group. This amount is expected to boost its supplies in its outlets ahead of the Christmas shopping period. The company is seeking for KES 800 Million in bank debt in addition to the money which will be raised through sale of Ngong Hyper (KES 1 Billion) to aid in the turnaround strategy.
Equity Market Highlights
East African Breweries Ltd (NSE: EABL) was the most actively traded stock today accounting for 36.23 % of the total market value traded activity. Equity Group Holdings Ltd (NSE: EQTY) closed in second place, accounting for 22.63% of the days traded value.
Atlas Development & Support Services (NSE: ADSS) was the top gainer of the day propping up by 8.33 % to close at KES 1.95 buoyed by only 300 shares traded. Mumias Sugar Co. Ltd (NSE: MSC) gained 6.67%, to close at KES 1.60.
Trans-Century Ltd (NSE: TCL) led the losers pack plunging by 10.00% to close at KES 8.10; as investors engaged heavily in distribution activities. Jubilee Holdings Ltd (NSE: JUB) lagged behind, declining by 9.70% to close at KES 456.00.