Industrials remains subdued as volumes recover

Published: 29 November 2013

Industrials remained subdued at week's end weighed down by heavyweights Innscor and OK Zimbabwe but daily market turnover recovered from yesterday to close above the $1 million level after meaningful volumes in CBZ, Delta, Padenga and SeedCo.

There were just 3 counters to trade in the red against 5 that managed gains but Innscor and OK Zimbabwe accounting for about 12% of the Industrials Index managed to outweigh the 5 counters' 4.29% of the mainstream index.

The Industrials Index dropped 2.20 points or 1.02% to 213.04 while the Minings Index remained stable at 47.02.

On a week on week basis the Industrials Index has dropped 1.83% while the Minings lost 4.43%.

Daily market turnover recovered with trades worth $1,318 million from a volume of 5.839 million shares being recorded in the session compared with yesterday's $499 590 on a volume of 1.232 million shares.

Weekly turnover was however better at $9,364 million from 31.46 million shares compared with last week's $6,858 million and 78.25 million shares.

Innscor dropped 4.49c to 80c while OK Zimbabwe was 3c weaker at 20c as investors continue to fret over the retail group's diminishing demand and constrained revenue growth as depicted in the interims to September. At 20c OK Zimbabwe is now 20% down since publishing interims to September.

The 3rd counter to trade in the red was FBC which dropped 0.35c to 12.5c.

On the upside Turnall led the risers after adding 1 c or 22.22% to 5.5c in the wake of reports that the firm is nearing the targeted 45 000 tiles per day capacity at its tiles making plant which was commissioned in August this year.

ZHL added 0.06c to 1.5c while African Sun recovered 0.10c to 2.8c. Padenga was 0.50c firmer at 9c while TSL added 0.99c to another fresh high of 36c.

Aico Africa remained stable at 2.8c as it finally published an abridged statement regarding a series of transaction that will see the partial sale of the company's SeedCo shares, renounceable rights offer of 560 831 770 and change of company name from Aico Africa to Cottco Holdings Limited among others.

SeedCo traded unchanged at 90c.

The Datvest All Share Index dropped 1.15 points or 0.80% to 142.15 while the FBC ZSE-10 Index was 1.90 points or 1.27% weaker at 148.28.
- zfn