UACN Property Development Co., a Nigerian company that develops and manages real estate, rose to the highest in 16 months after it started raising funds for business expansion.
The stock advanced 0.9 percent to 16.35 naira at the close in Lagos, the commercial capital, the highest level since Sept. 15, 2011.
UACN Property plans to raise 30 billion naira ($190 million) through a share offer for real estate investments from Feb. 21 to April 1, the company said yesterday.
“Investors want to take advantage of the property market that has survived a slump, with properties gaining in key commercial areas of Lagos, the capital Abuja and Port Harcourt by as much as 40 percent in the past one year,” Toyin Oluwatuyi, analyst with Lagos-based Sterling Capital Ltd., said in a telephone interview from Lagos. “The huge housing deficit in the country gives the stock good earnings prospects.”
The company’s shares have risen 38.6 percent this year, compared with a 18.6 percent advance in the Nigerian Stock Exchange All-Share Index.