Segun Agbaje Loses ₦98.04m As GTCO’s Investors Take Out Funds

The decision of investors to take out their investments from Guaranty Trust Holding Company has seen the Chief Executive Officer of GTCO, Segun Agbaje and other shareholders of the firm lose 11.64%.

Investors in the company are selling off their share, while some are taking out profits as the board moved to approve its ₦2.70kobo per share final dividend paid to shareholders for 2021 period, which will take its total dividend for the year to ₦3.

Shareholders in April 8 would have the opportunity to vote on the uninsured shares, considering its existence creates a possibility of diluting shareholders stakes and depleting share value.

With fear that the investment of GTCO might not grow, some investors engaged in massive sell off which resulted in GTCO’s stock losing value, with its share becoming cheaper, falling to ₦3.15kobo, against its asking price of ₦26.20kobo per share on March 18.

As the share of GTCO lost -11.64%, Agbaje lost ₦98.04 million within the five days of trading last week, out of his ₦842.24 million direct investment in the company as of March 18.

However, the loss of Agbaje was more significant compared to that of GTCO chairman, Hezekiah Oyinlola, who lost ₦1.07 million from the ₦9.24 million indirect shares he owned before last week’s trading.

While the total shareholder loss was ₦89.76 billion, with total investment held by stakeholders now worth ₦681.33 billion as of Friday last week, against the ₦771.09 billion owned on March 18.

This further extends the gap between GTCO and its market rival, Zenith Bank, on the most capitalised or valuable company and financial institutions in Nigeria, as the Jim Ovia-led bank is worth ₦844.56 billion.

This article was originally published on Nigeria News