Fidelity Bank on Thursday, April 28, 2016 recorded gains on the Nigerian Stock Exchange (NSE) amongst a few other shares as investors staked more resources in the bank’s equity despite allegations by the Economic and Financial Crimes Commission (EFCC).
Viral media reports had alleged that the bank’s managing director was involved in distributing the sum of $115 million as directed by Nigeria’s former petroleum minister, Dieziani Alison-Madueke towards the 2015 election period.
The bank in a statement issued on Thursday, April 28, 2016 maintained that they duly reported all transactions made by the ex-minister to statutory authorities.
Notwithstanding the allegations, the bank’s share price appreciated by 2.5% in Thursday’s trading on the NSE to close at N1.20 per share, making it one of the best performing stocks in the banking sector.
Analysts believe that the appreciation suggests that investors are not bothered about the allegations from the anti-graft commission.
An analyst said: “This clearly shows that investors are not really worried about the allegations.
Besides, I think the figures being mentioned are exaggerated just for effect.
“The monies were collected in the normal course of business and disbursed in the normal course of business in my perspective. I believe this issue is likely to be resolved.”
