The Nigerian Exchange Ltd. (NGX) has reclassified Fidelity Bank Plc from a small-priced stock to a medium-priced stock.
NGX, in a statement made available in Lagos, said the reclassification became necessary because the bank’s shares had been trading above the N5 mark since February.
The reclassification came up following a bullish run in the stock market in recent months.
“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.
“New security listings priced above N5 per share at the time of listing on NGX are classified as medium-priced stocks,” it said.
According to the NGX, Fidelity Bank traded above the N5 mark on February 20 and has remained above the N5 mark up until the close of business on June 30.
NGX said this indicated that the bank has been trading above N5 for at least four months in the last six months and should be reclassified from small to medium.
The exchange said the bank has continued to post commendable financial performance every quarter as it cements its position among tier-one banks in the country.
(NAN)