As investors exited their investment in Guinness, demand for Champion Brew, International Breweries and Nigerian Breweries in the capital market rose, as rivals gained from Guinness’ loss.
The capital market confidence towards Guinness slumped last week, hence, investors snubbing the firm, while investing in the company’s market rival.
According to analysis by Ripples Nigeria, investors in Guinness are selling off their shares amid the firm’s loss of its revenue market share to International Breweries in Q1 2022.
It had earlier been reported that Guinness revenue slowed in the last quarter to N50.32 billion, allowing International Breweries push it back to the third spot, after the latter generated N57.52 billion, while Nigerian Breweries maintained its largest market share rank with N137.77 billion.
This was in contrast to Q1 2021 earnings report, when Guinness Nigeria generated N42.60 billion, against International Breweries N38.96 billion within the same period.
Investors are now exiting their positions in Guinness after the disappointing financial report. This sell off has weakened the brewers share, resulting to shareholders losing 10.91% of their investment in the firm.
This represents a loss of N26.28 billion in total investment, which is now down to N214.65 billion after last week’s trading, from the N240.94 billion Guinness had opened trading with.
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Read Full Story At: Ripples Nigeria.