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Home Blog Page 4999

Airtel Post Share Gains Of 10%, As Company Shareholders Earn N651 Billion

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Telecommunications company Airtel, is no doubt having a fantastic year, as the company which operates across 14 African countries, generated $1.2 billion in revenue, in the first half of 2022, growing by 13% from the same period last year.

Just recently Airtel’s share price posted gains of 10% in July, becoming one of the best-performing stocks of the trading month, following positive investors’ sentiment. The positive sentiment witnessed on shares of the telecom firm during the month of July, has resulted in investors of the company gaining about N651 billion at the close of trading on July 29th.

Airtel began the year with a share price of N955 and has since gained 99.5% on that price valuation, ranking Ninth on the Nigerian Exchange (NGX) in terms of year-to-date performance.

Investors in the company will no doubt be overwhelmed with a feeling of ecstasy, smiling to the bank, as the company continues to perform exceptionally well since the beginning of 2022, giving investors massive returns on their investments.

It doesn’t come as a surprise that Airtel ranks as the 96th most traded stock on the Nigerian stock exchange over the past three months this year, from April 12 to July 18, 2022.

Despite the Covid-19 pandemic that put a constraint on many businesses across the globe, the company has continued to remain resilient since the pandemic period, with remarkable achievements in revenue.

Airtel has traded a volume of 7.65 million shares in 2,304 deals valued at N12.4 billion over the period, with an average of 121,433 traded shares per session. A volume high of N1.38 million was achieved on May 27th, and a low of 31 on April 13th, for the same period.

Shareholders at the company have been reported to have gained about N3.571 trillion at the close of the trading period on 18th July 2022. It is interesting to note that Airtel Africa is also listed on the London exchange markets.

The company has consistently positioned itself to compete for the foreseeable future, which is why it has consistently witnessed a significant increase in its revenue and gains in its shares. Airtel has continued to hit on all cylinders, as it expanded its business, by making a significant entry into the Fintech sector.

Its entry into the Fintech space was no doubt a remarkable entry, as the company Immediately partnered with British multinational banking and financial services company, Standard Chartered Bank, to enable the telecommunications company to deepen its financial inclusion drive across key markets.

Ever since Airtel commenced its mobile money operation in Nigeria, the company has continued to witness a strong addition in its market capitalization. As of July 2022, the local stock market witnessed a 1.71 percent growth as investors showed buying interest in some companies doing remarkably well, such as GTCO, Wema Bank, other equities, and Airtel inclusive.

It was reported that traders/investors did not hesitate to pounce on the stocks of these companies, with the hope that their prices would rise in the coming weeks. As an investor looking for where to invest, Airtel might be that destination, as the company has continued to give investors a massive return on investments.

Tourism Spike in El Salvador Over its Adoption Of Bitcoin As A Legal Tender

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Recall when Central American country El Salvador in September 2021, adopted Bitcoin as the country’s legal tender, as it was followed by widespread criticism.

There were several calls from experts and international bodies, such as the International Monetary Fund (IMF), urging El Salvador to discontinue from using Bitcoin as its legal tender, stating that doing so will pose a serious challenge to the country’s economy.

However, it seems like the country’s adoption of Bitcoin as its legal tender seems to be paying off, as recently, El Salvador was included in the ranking of the World Tourism Organization, along with 14 other countries as part of the countries that experienced high tourist attraction from January to May this year. Only three countries in the Americas appeared on the list, Saint Lucia with 21, El Salvador with 6, and Mexico, with 3.

Ecstatic about this news, President Nayib Bukele took to his Twitter profile to disclose that his adoption of Bitcoin as well as the crackdown on criminal gangs in the country, led to a spike in El Salvador’s tourism despite the bear market. He disclosed that his policy of adopting Bitcoin as the country’s legal tender is one of the major reasons why holiday-goers are choosing El Salvador as their desired destination.

See what he said; “Only a handful of countries have been able to bring their tourism back to pre-pandemic levels. The reasons behind it are mainly Bitcoin and surfing. But domestic tourism is growing even more, mainly due to our crackdown on gangs”.

Recall that President Nayib Bukele declared war against gangs in El Salvador, as his government has been hell-bent on pushing out violent crime from the country, despite critics claiming that his regime was violating the human rights of both prisoners and those suspected of gang membership.

His crackdown on gangs in El Salvador, has however witnessed unrivaled success, with the high rate of murder dropping to zero on consecutive days for the first time in several years. President Nayib did not fail to give himself a pat on the back, by stating that aside from the adoption of Bitcoin as the country’s legal tender, his crackdown on crime and gang activities in the country has also led to the increase of tourists in the country as they now feel safe coming to the country.

Contrary to reports from the Wall Street Journal that El Salvador’s bet on Bitcoin to attract tourists hasn’t worked, visits for the first half of 2022 almost outpace total visits in 2019. 1.1 million people visited the country in six months compared to last year’s total of 1.2 million.

Speaking in a recent radio interview, El Salvador’s Ministry of Tourism through its general director, Alex Bonilla disclosed that over the summer holiday period, the country can expect “57,500 international visitors”, which will generate $60 million in foreign exchange during this vacation, with the expectation that the tourist visit this year will beat the 1.2 million of last year.

It is interesting to note that lots of Bitcoiners have been constantly making trips to El Salvador since the adoption of Bitcoin as the country’s legal tender. Also, big shots and shakers in the Bitcoin ecosystem, fascinated by what is happening in the country, have also visited.

Tourists who are in support of the adoption of Bitcoin have been reported to spend more time in the country. Before the adoption of Bitcoin, there was a daily spend of $113 to $150, now it’s up to $200 a day. El Salvador’s tourism has grown up to 30% since Bitcoin adoption says the minister.

2023 Presidential Election: Wike Sues Atiku and PDP, Deepining the Party’s Crisis

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Rivers State governor Nyesom Wike has filed a lawsuit against the Peoples Democratic Party (PDP) presidential flagbearer Atiku Abubakar, over the outcome of the recently-held party primary election.

The lawsuit was filed by Wike alongside Michael Ekamon, a member of the PDP, at the Abuja Federal High Court. According to court filing, the PDP, Sokoto State governor Aminu Tambuwal and Nigeria’s electoral body INEC, are all joined in the suit. The parties were served on July 1.

The development has presented a fresh challenge to the main opposition party’s quest to win the 2023 presidential election.

Wike was aggrieved by the outcome of the PDP’s primary election after Tambuwal stepped down from the race for Atiku. The governor said Tambuwal’s decision undermined his chance of winning, describing it as betrayal.

Attempts by the PDP’s National Working Committee (NWC) to resolve the matter have failed. Now the crisis has degenerated to a lawsuit that will likely mar the party’s chance to retake power from the ruling All Progressive Congress (APC), who ascended to power in 2015.

Wike has accused the former vice president of telling lies against him and using his “attack dogs” to issue false statements, and has vowed to tell the whole truth about all that recently transpired in the PDP.

“When I chose to quietly mind my state they chose to constantly sow malicious lies & discord. For posterity sake I will reveal all that occurred and respond to every one of their lies. We cannot leave our history in the hands of liars,” Wike said last month.

After the PDP’s primary election, a committee set up by Atiku to choose a running mate for him, revealed that they chose Wike, but their decision was overridden by Atiku’s choice of Delta State governor Ifeanyi Okowa. The matter is believed to have added salt upon Wike’s injury, fanning embers of the PDP’s infighting.

Atiku’s attempts at reconciliation have failed. On Thursday, Adamawa State governor, Umaru Fintiri, paid emissary visit to Wike in Port Harcourt, in Atiku’s latest move to make peace. But Wike insisted that for peace to reign, the National Chairman of the PDP, Senator Iyorchia Ayu, must resign from office.

Per Vanguard, Wike told Fintiri that even without his insistence on Ayu’s resignation, honor, dignity and sincerity should make Ayu resign, based on his promise to do so once a northerner emerged as presidential candidate.

The lingering dispute is exacerbating the gap created by the sudden exit of Labour Party’s presidential candidate Peter Obi, whose myriads of supporters followed to his new party.

Well Done Jumia/JumiaPay for Executing Double Play Strategy- 3.4M transactions in Q2 2022

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Jumia looks really amazing. In short JumiaPay is unlocking new vistas for this company: “JumiaPay also recorded impressive numbers in the second quarter, with its TPV growing by 31% year over year to $74.2 million, and transactions reaching 3.4 million in the second quarter of 2022, growing by 25% year over year. The platform has yet to put its Payment Service Solution Provider (“PSSP”) license — granted by Nigeria’s apex bank, the Central Bank of Nigeria to process payments for third-party businesses — to use in Nigeria.

“Poignonnec [co-CEO Jumia] said it’s only a matter of time before the service is live in Nigeria. However, JumiaPay has begun a pilot in Egypt where the platform has a similar license.”

In two years, JumiaPay could join the tier-1 of leading fintechs in Africa. Jumia looks extremely impressive when you see how fintech companies are valued. Having JumiaPay will give this company new mojos in the future. I have made the point that Jumia  must execute one oasis/double play strategy to have any chance since ecommerce alone cannot power its future. Today, that double play is JumiaPay and this company has a clear future.

The One Oasis Strategy is about finding how to create solutions which can find their first customers within the business. Amazon Cloud has the ecommerce operation as its first customer thereby removing any market risk. Samsung Semiconductors has the Samsung mobile devices business as the first customer. With those assured internal customers, these firms deploy resources, irrespective of the market dynamics, because they have found the first customers already, in-house. But over time, the products are now made available to the general public. You need to identify your best product (the oasis) and get others to find how to build habitations around it.

Everyone is deepening the age of double play strategy; TikTok sees growth in the ecommerce operations: “TikTok’s gross merchandise volume (GMV) for its e-commerce business in the first half of 2022 exceeded $1 billion, which is equivalent to the full-year volume the platform saw in 2021, LatePost reported on August 10. Among them, the average monthly GMV in Indonesia reached $200 million while the average monthly GMV in the UK was $24 million. However, compared with its competitors, the scale of TikTok’s e-commerce is still limited.

“The GMV of Shopee, which belongs to Sea Ltd., exceeded $60 billion in 2021. Alibaba disclosed on its 2021 Investor Day that as of September 2021, its e-commerce platform Lazada’s GMV reached $21 billion. TikTok’s e-commerce achieved rapid growth in the first half of the year, which benefited from its expansion in Southeast Asia, in addition to its own small volume.”

 

Start the Innovation Engine by Registering for Tekedia Mini-MBA

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All contents are self-paced, recorded and archived which means participants do not have to be at any scheduled time to consume contents. Our programs are designed for ALL sectors, from fintech to construction, healthcare to manufacturing, agriculture to real estate, etc.

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