Eveready E.A Partners with Clorox Africa

Equities

The equities market opened the week on a positive note with all the market indicators pointing north. The NSE All Share index advanced by 0.21% to close at 141.67 point. The NSE 20 Share Index followed suit, appreciating by 0.3% to perch at 3844.39 points while the NSE 25 Share Index posted a 0.37% gain to close the day at 4066.75 points. Market Capitalization surged by 0.21% to close at KES 1.99Tn. Equity turnover however bucked the trend, plummeting by 71.58% to close at KES 0.21Bn. This was attributed to a 70.5% decline in volume of shares traded to 7.22Mn shares. Market Breadth, portrayed a positive performance, with the advancers-23 outweighing the number of decliners-14.

Eveready East Africa Ltd (NSE: EVRD) has partnered with Clorox Africa Ltd, a regional subsidiary of the global manufacturer Clorox. The partnership will see Clorox supplying household products in the bleach category under the brand name Clorox whilst availing other product lines under different brand names to Eveready for distribution. Eveready recently announced their full year 2015 results recording a net loss of KES 77.71mn from KES177.59mn in 2014. The company also recently closed its Nakuru manufacturing plant opting to source batteries from its affiliate in Ethiopia shifting its business model from manufacturing to distribution. The company diversification strategy involves around product diversification, regional expansion and strengthening route to market programmes. The 2013-2017 strategy will see the company reduce its reliance on portable battery solutions

Equity Market Highlights

Equity Group Ltd (NSE: EQTY) was the most actively traded stock today accounting for 25.72% of the total market value traded activity. Bamburi Cement Ltd (NSE: BAMB) closed in second, accounting for 22.87% of the total market turnover.

TPS Serena Ltd (NSE: TPSE) topped the gainers list escalating by 9.57% to close at KES 25.75. Atlas Development & Support Service Ltd (NSE: ADSS) emerged as the second gainer, recording an 8.57% increase on the share price KES 1.90.

Trans century Ltd (NSE: TCL) was the top laggard of the day, plunging by 7.09% to close at KES 6.55. National Bank of Kenya Ltd (NSE: NBK) trailed behind, declining by 4.19% to close the day at KES 16.00.

Research by Genghis Capital.