Following a bullish run on the Nigerian stock market in recent months, the Nigerian Exchange Limited (NGX) announced the reclassification of Fidelity Bank Plc from small price stock to medium price stock.
The NGX, in a statement, said the reclassification became necessary because Fidelity Bank shares have been trading above the N5.00 mark since February 2023.
According to Exchange, rule 15.29 of the Rulebook of the Exchange, 2015 (Dealing Members’ Rules) notes that equities priced above N5 per share for at least four of the most recent six months of trading, or new security listings priced above N5 per share at the time of listing on NGX are classified as medium price stock.
“Fidelity Bank traded above the N5.00 mark on February 20, 2023 and has remained above the N5 mark up until close of business on 30 June 2023.
“This indicates that Fidelity Bank has been trading above N5 for at least four months in the last six months. Therefore, it should be reclassified from small price stock to medium price stock,” it pointed out.
The bank has continued to post commendable financial performance every quarter as it cements its position amongst tier-one banks in the country.
In 2022, the bank posted a five-year record growth of 113 per cent year-on-year in profit before tax.
On the back of the impressive performance, the bank proposed the payment of a final dividend of 40 kobo per share for 2022 full year paid on May 23, 2023 to shareholders.
The trajectory was sustained in first quarter (Q1) 2023, with gross earnings up 42 per cent to N101 billion.
