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Sell-off by foreigners burns BAT investors’ fingers

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BAT Kenya shed a massive Ksh63 at the Nairobi Securities Exchange (NSE) on Tuesday, dragging down the main index which opened the week on a positive note on Monday.

The counter ended the day 7.75% lower at Ksh753, as foreign investors sold out. It was the main mover of the NSE 20 share index on a day when most of the other large cap counters saw limited share price movement.

WPP ScanGroup also declined significantly among the index counters, losing 6.8 per cent to close at Sh31 per share. “BAT declined 7.7 per cent as foreign investors turned net sellers. The top mover was Equity Bank which accounted for 24.4 per cent of market activity. The bank was in the green for the third straight session after it gained 2.7 per cent to close at a nine-session high of Ksh41.50 mainly on foreign investor buying,” said Standard Investment Bank in a market report.

ALSO SEE: EABL AND SAFARICOM LEAD FALL IN BLUE-CHIP SHARES

The NSE 20 Share Index was down 23 points to stand at 4153 while the NSE All Share Index (NASI) closed 0.32 points higher at 143.12. The market has been experiencing price fluctuations in recent days as shareholders look to either take up stocks whose prices have come down to below what is considered fair value, or exit counters to safeguard their investments.

Turnover fell on Tuesday to Ksh365 million from Ksh511 million recorded on Monday, in the absence of any block trades on the big cap counters. Some 10 million shares were traded in total, down from 12 million shares traded on Monday.
Equity Holdings traded 2.14 million shares worth Sh89 million at an average of Sh41.50 a share.

KCB followed with trades worth Sh71.7 million, moving 1.63 million shares at an average price of Ksh44. The top gainer on Tuesday was East Africa Portland Cement which closed eight per cent up at Sh54, while the biggest decliner was Kapchorua Tea that closed 9.8 per cent down at Ksh193.

NEXT READ: TOP KENYA AIRWAYS MANAGERS TO GO BEFORE BAILOUT

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BUSINESS TODAY -

editor [at] businesstoday.co.ke

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