ZANACO share price slips on LuSE

Zambia National Commercial Bank PLC – ZANACO, […]

Zambia National Commercial Bank PLC – ZANACO, one of the few banks that are listed on the Lusaka Securities Exchange – LuSE has recorded a share price drop of 0.3%, and has been reported among the four most losers in terms of share price drops.

According to the Stockbrokers Zambia weekly equity and economic report seen by the Zambian Business Times- ZBT for the market period ended 7 August, ZANACO recorded a trading volume of about 54,000 shares with the market turnover standing at about K515,000 which is equivalent to about $84,000.

However, despite the positive market turnover of K515,000 which saw ZANACO placed third on the list of companies with the highest turnover, the company’s share price is reported to have dropped by 0.3% with its per share price settling at K9.51.

When asked for a comment, ZANACO Managing Director Mukwandi Chibesakunda attributed the 0.3% drop primarily to investor participation in the open trade of buying and selling shares on the exchange.

Speaking in an exclusive interview with Zambian Business Times – ZBT, Chibesakunda noted that the 0.3% drop is not unusual on the market especially considering that ZANACO’s share price has increased from K0.47 per share to K9.5 in recent years.

“ A drop of 0.3% is not unusual on the exchange and that is primarily because of the fact that there are buyers and sellers who trade their shares openly on the exchange, but in the last five years, ZANACO’s share price has grown from K0.47 per share to now K9.5 per share,” said Chibesakunda.

She added that the improvement of the Bank’s share price has to some extent triggered investors holding shares in the company to offload for a better value.

“ Sometimes when the share price improves to that extent, ‎some investors who are holding the shares can offload, so that they get another value,” said Chibesakunda.

Chibesakunda further disclosed that in the last five years, the number of private individuals and entities has increased to 10,000.

“ Five years ago we only had about 2,000 private individuals and entities ‎owning shares on the stock exchange but currently we are now sitting at more than 10,000,” said Chibesakunda.

Article by Justine Phiri