Oando Rises by 10% on Plan to Release Audited Report

OANDO Energy Plc added weight as the company’s market value increased by 10% as investors raised bets ahead of the third quarter earnings release and 2023 audited financial statement. The earlier announced plan to release the audited report for financial year 2023 on Oct 23, 2024, boosted investors’ sentiments and confidence.

The energy company share price has begun to regain momentum as investors began to price in the company’s growth strategy.  Recall that the oil stock soared significantly post acquisition of Nigerian Agip Oil Company’s oil asset from Eni.

Oando Plc in August just completed a $783 million acquisition of Nigerian Agip Oil Company, thus increasing the company’s interest in the different joint venture assets. With efforts to consolidate on its growth plan, the company bid and was shortlisted by the Trinidadian government as one of three final contenders to take over the country’s state-owned refinery, Petrotrin.

The defunct company is a state-owned oil company in Trinidad and Tobago. The refinery located in Pointe-a-Pierre, Trinidad had been closed since 2018, when the country’s Prime Minister, Keith Rowley noted that the refinery was recording losses of up to $2 billion per annum.

Some analysts said Oando Plc is more likely to close the deal, and this will not only raise its capacity but also its earnings. In the market, share price rose to N77 from N70 at the beginning of the week. The price appreciation lifted Oando Energy Plc to N957.218 billion.

At the current price however, the company market valuation is behind it5 52 week high by 21.75%. Oando Plc had reached N98.4 per share before activities of sell side investors dragged the company’s valuation lower.  

The indigenous energy group listed on both the Nigerian Exchange Limited (NGX) and Johannesburg Stock Exchange (JSE), told market regulators and its shareholders of a further delay in the completion of its 2023 audit.

Oando attributed this to the recent acquisition of Nigerian Agip Oil Company, which was completed on August 22, 2024.  The company said it was unable to meet September 30, 2024 deadline earlier communicated to the market for submitting its 2023 Audited Financial Statements (AFS).

The regulators were informed that following the approval of an extension by the NGX, the company now anticipates filing its 2023 audited financial statement no later than Wednesday, October 23, 2024, subject to receipt of approval to do so from the Financial Reporting Council of Nigeria. #Oando Rises by 10% on Plan to Release Audited Report Transcorp Power Tops Performers, Gains 19.3% after Hefty Earnings