Livestock Feeds Nigeria Rises Most in 7 Weeks on Profit BetsEmele Onu
Livestock Feeds Plc, a Nigerian company that produces and markets animal feeds, gained the most in seven weeks as investors bought the company’s shares on speculation full-year profit will rise.
The stock rose 5 percent to 2.31 naira at the close in Lagos, the commercial capital. That is the biggest advance since Jan. 22, according to data compiled by Bloomberg.
“Investors are expecting full-year profit to rise given company’s performance last year and expansion in production capacity,” Chris Okoro, an analyst at Lagos-based Cosord Securities Ltd., said today by phone. “The result is expected within two weeks.”
Livestock’s half-year profit through June more than doubled to 60 million naira from 25 million naira, it said in a statement to the Nigerian Stock Exchange July 31. Revenue advanced to 2.5 billion naira from 1.3 billion naira.
UAC of Nigeria Plc, a Nigerian company with interests in food products, logistics and real estate services, said last year it was buying a majority stake in the feed producer, to take advantage of the synergies between the two companies in the animal feeds industry.
Livestock shares have risen 60 percent this year, compared with a 17 percent gain in the Nigerian Stock Exchange All-Share Index.