Two highly ranked board members of Fidelity Bank Plc have purchased additional 23.9 million shares of the company in a deal cumulatively worth N54.9 million.
According to two separate disclosures signed by the company’s secretary, Ezinwa Unuigboje and made available on the website of the Nigerian Exchange Group Limited (NGX), the two board members that consolidated their equity stakes are; Mrs Nneka Onyeali-Ikpe (M.D/CEO) and Mr Nelson Nweke (Non-Executive Director).
Breakdown of the deal
The breakdown of the deal revealed that the Managing Director/CEO of Fidelity Bank purchased a total of 2,138,260 units at an average price of N2.30 per share. This puts the total consideration for the shares purchased by the M.D/CEO at N4, 917,998. Additionally, it is important to note that the deal occurred on the 28th of June, 2021.
On the other hand, Mr Nelson Nweke purchased a total of 21,805,180 units of the firm’s shares at an average price of N2.29, totalling N49, 933,862.2. This deal took place from 23rd-29th of June, 2021.
Cumulatively, the aforementioned board members spent a total of N54, 851,860.2 on additional 23,943,440 units of the firm’s shares.
Why it matters:
The disclosure is in line with the rule 17.15(C) of The Exchange, which demands that all dealings by insiders of listed companies be reported by the management. This is aimed towards ensuring transparency in the system and maintaining stakeholders’ confidence in the financial system.