Vanguard Markets | Monday, October 20, 2014 | Issue 015
JAYWALKER
Paywalls returning to Nigerian media sites ! page VM6
INVESTMENT CONFERENCES
Investment conferences chart way forward Nigeria’s rebased GDP has earned it the top spot as Africa’s biggest economy. This is good, but it is not enough. Translating its size and potential to jobs for its teeming youth population and tangible development are a few of the challenges facing decision-makers if they are to avoid the blown chances of the 70s and 80s, when Nigeria frittered away its oil wealth. Investment conference organizers have zeroed in on what needs to be done. rica, and the 26th biggest in the world. The applause for this leapfrogging feat is dying down. Economists, and analysts are preoccupied with what follows. How will its new status affect the cost and ease of doing business as well as investment by private capital? Being the continent’s biggest economy cannot be an end in itself.
They finally get it
Chinelo Anohu-Amazu, director-general, National Pension Commission at the 2013 edition of the FBN Capital Investor Conference. The country’s pensions czarina is returning as an invited speaker at this year’s conference. The audience will expect her to answer questions on the new Pension Law and guidelines for pension fiduciaries, who hold more than $23 billion under management, desirous of plugging funding gaps in areas like infrastructure and housing.
Africa’s largest economy, what next? IGERIA AS AN investment destination is on the ascendant. The country’s rising prominence is reflected by
N
international money’s calendar commitments to investment-themed events. The rebasing of the country’s gross domestic product sharpened its selling point. In April, the National Bureau of Statis-
tics announced that Nigeria’s recalculated GDP had catapulted from N42.4 trillion or $269.5 billion to N80.2 trillion, or $509.9 billion, making it the largest economy in Africa ahead of South Af-
After years of bashing for corruption, poor infrastructure, epileptic power supply, and an over-dependence on petroleum, Nigeria is entering the good books. Of course, this did not suddenly happen the morning after rebasing. Reforms have been going on in spurts and bursts since the country’s return to civil rule in 1999. Nigeria can no longer be ignored by serious investors seeking exposure to the continent. Companies and portfolio investors’ ears perk up when Nigeria is mentioned. Size can be its own reward. For instance, in May, Morgan Stanley increased the country’s weighting in its MSCI Frontier Index by 600 basis points to better represent the reality. In the past, roadshows were more the norm when ministers and top-shots went round New York, London, and Tokyo
cap in hand to ask for investment. What is different is that this time the world is coming to Nigeria to listen to its story. Instead of waiting in their capitals for Nigeria to come to sell its story as in former times, the world is not beating a path to Nigeria to buy its story.
A thread runs through Investment conferences are commonly used as a platform for the presentation of an investment case. They pull feedback from audiences, who act as objective sounding boards outlining steps to be taken to bring in the money. Since these events gather attendees from every point on the investment pipeline they are a good way to take the temperature on market sentiment. This year, Nigeria has hosted two major investor-themed conferences. The observant spectator will find a topical unity ties the discussions at both to Nigeria’s economic transition and the issues it has thrown up. Over three days in May, Abuja played host to the World Economic Forum on Africa earning the country’s policy-makers and leaders acclaim for the quality of A-list speakers and audience it drew.
! Page VM2
Inside Art patrons impatiently await Kavita Chellaram’s Arthouse Contemporary’s November sales
! Page VM6 FOREX RATES
$/N
155.26
155.4 155.3 155.2 155.1 155.0 Fr
Mo
Tu
£/N
We
Th
Fr
250.3257
250.5 249.5 248.5 247.5 246.5 Fr
Mo
Tu
Euro/N
We
Th
Fr
199.2917
199.7 198.7 197.7 196.7 195.7 Fr
Mo
Tu
CNY/N
We
Th
Fr
25.3518
25.40 25.30 25.20 25.10 25.00 Fr
Mo
Tu
We
Th
Currency
Central Rate
SWISS FRANC
165.0122
YEN
1.4593
CFA
0.2918
WAUA
230.7496
RIYAL
41.3872
DANISH KRONE
26.7625
SDR
232.0205
Fr
FIXED INCOME & FOREX
Source: FMDQ
VM2
BUSINESS
VM | Monday, October 20, 2014 | Issue 015
JAYWALKER
Paywalls returning to Nigerian media sites
Obiora Onyeaso obiora.onyeaso@customsstreet.com
AYWALLS, THE restriction of content on media sites to paying subscribers, are a sensitive innovation. They are unpopular with faithful readers, who feel alienated, and confusing for publishers faced with the riddle of getting value for the investment they made in newsgathering and maintaining their online operations. In the search for alternative revenue streams to support dwindling print revenues, publishers want to monetize the popularity of
P
their websites. Understandably, visitors used to accessing news for free kick against these tolls. Often, the specific price point is not the issue for visitors. Readers resist the idea in its entirety. They wonder why media houses would charge for content that other media sites give out for free. The commoditization of news and proliferation of quality analyses on the web make publishers cautious about billing for access. To date, only two news sites among major media titles, the Wall Street Journal, and Financial Times, have made a success of paywalls. Their subscription numbers keep growing each year. Importantly, their subscription revenues exceed online ad income. The FT is held up as the poster boy for successful paywall adoption. In 2013 its global print circulation was 224,372 a day. Of that amount 70,000 copies were sold per day in the UK. Digital subscriptions surpass those figures at 455,000. Commenting on the success
Source: abc.org.uk
of the FT’s digital subscription model, John Ridding, the salmon-coloured paper’s chief executive asserted that ‘we are no longer fixated by print circulation volumes.’ Back in May 2009, two months after it launched Mobile Punch, the management of Nigeria’s Punch newspaper took the radical step of introducing a paid subscription model on its
website, the first of its kind in Nigeria. Access to full news stories on its dedicated web address at Punchontheweb. com cost N1,500 per month. This was N900 more expensive than the Mobile Punch service. The backlash from readers was ferocious. Recognizing the overwhelming negative feedback, the paper reversed its decision. With hindsight,
it could well have been that the strategy should have been better thought through. For example, more homework could have been done on the best premium access model to adopt (hard wall, freemium, metered). Greater attention should have been devoted to understanding the prevalent preference for the print edition by a large segment of those who could afford the online subscription. Finer accuracy should have been insisted on in locating the saddle point between revenues lost from advertisers focused on site traffic numbers, and the new subscription fees from paying readers. For the record, online ad revenues at most media houses fall well short of levels required to sustain operations. Hence, claims of upsetting advertisers should be taken with a pinch of salt. There is nothing inherently suicidal about charging for online content. This is an end determined by the business rationale of paying for high quality reporting and running
a high grade online media operation. In fact, the trend at many media houses is to separate digital publishing as a separate division from the print business. Gone are the days when all that was needed was a webmaster and one assistant to manage all online assets. Therefore, it was interesting to see BusinessDayOnline.com, the website of BusinessDay, briefly introduce a hard wall early last week. When readers clicked on a story, they were taken to a log-in page. Its innovative tiered subscription model binds online access with print delivery for its middle or Premium Plan (N4,250) and Premium Plus Plan (N5,950). The entry or Basic Plan (N1,700) provides only online access. A comparison of each plan’s offering is available at BusinessDayOnline. com/subscription. The barrier lasted for only a day.
! Page VM6
INVESTMENT CONFERENCES
Investment conferences chart way forward W Continued from Page VM1 Li Keqiang, Premier of the People’s Republic of China, Dominic Barton, Global Managing Director, McKinsey & Company, Donald Kaberuka, President, African Development Bank, and Luiz Inácio Lula da Silva, former President of Brazil (2003-2010) are some of the distinguished personalities names that graced the event. The theme of the meeting was Forging Inclusive Growth, Creating Jobs, a critical subject for a continent projected to achieve a growth rates above 5 per cent in 2014. This good news could be dampened if its leaders do not find productive means to engage what experts now refer to as sub-Saharan Africa’s ‘youth bulge’. United Nations’ figures estimate that SSA has 200 million people aged between 15 and 24, making Africa the continent with the youngest population in the world. Then in September, Euromoney held its Nigeria Banking and Capital Markets Conference 2014. The one-day event attracted more than 350 policymakers, bankers, investors, and corporates to discuss and exchange ideas on the future of the continent’s biggest economy. Its theme was The New Era of Capi-
tal Access: Solutions for the New Reality. The reality referred to was what the organizers aptly described as the overdue, but dramatic, rebasing of Nigeria’s economy. During Q&A sessions questions like ‘how has the rebasing affected the access to capital for prospective issuers?’, ‘would a more diversified economy translate to less vulnerability to oil prices’ fluctuations?’ and ‘how should policymakers respond in the wake of the rebasing of GDP?’ solicited active responses across the hall.
FBN Capital’s Investor Conference to proffer actionable solutions Situating itself right at the epicentre of the discourse on the best ways to pull in the complete benefits of being Africa’s biggest economy is the forthcoming FBN Capital Investor Conference. It is scheduled to hold on November 11 – 12, 2014. This is the fourth in a series of annual events organized by the awardwining investment bank. Started in 2011 under its late maverick chief executive, Osazee Osifo, the maiden conference had as its theme, From BRICS to BRINCS - A Real Conversation. The following year, the organizers picked the theme Catalysts for growth
TRENDS IN WORLD OUTPUT GROWTH (%) World US Japan Eurozone Brazil Russia India China South Africa Mexico Indonesia Nigeria Turkey
2012 3.20 2.80 1.40 -0.70 1.20 3.40 4.70 7.70 2.50 3.90 6.30 6.60 2.20
2013 3.00 1.90 1.50 -0.50 2.30 1.30 4.40 7.70 1.90 1.10 5.80 6.30 4.30
2014E 3.60 2.80 1.40 1.20 1.80 1.30 5.40 7.50 2.30 3.00 5.40 7.10 2.30
2015E 3.90 3.00 1.00 1.50 2.70 2.30 6.40 7.30 2.70 3.50 5.80 7.00 3.10
Source: IMF, World Economic Update, April 2014, FBN capital Research
- A Pragmatic Approach. Last year, the FBN Capital chose Tomorrow’s Nigeria through Economic Em-
powerment as the theme. This year’s theme is Lifting the Lid on Emerging Nigeria. A statement put out by the
organizers explains that the focus of the event will be on how Nigeria can capitalize on the recent GDP rebasing, which has propelled it to the position of the largest economy in Africa and also shine the spotlight on previously underrepresented fast growing sectors of the economy which the recent rebasing has brought into focus.
Too large to ignore In a paper, The investment case for Nigeria, written to coincide with the run-up to the conference, the author, Gregory Kronsten, head, macro-economic and fixed income research at FBN Capital, argues that Nigeria has enviable growth prospects that outshine its peers on the continent, and even those in the Goldman Sachs-coined MINT group (Mexico, Indonesia, Nigeria, and Turkey). Its outlook is underpinned by ‘rising consumption, favourable demographics, urbanisation and a reform programme in process.’ But as every school boy knows, outlooks do not materialize on autopilot. This point was eloquently noted by Albert Essien, group CEO, at Ecobank, the pan-African lender when he said on the side lines of WEF on Africa that ‘Africa has been rising for a long time. I hope we will eventually
get to a point where we have risen.’ The conference organisers have assembled a brains trust of discussants to map the way to that point. Joining Godwin Emefiele, the governor of the Central Bank of Nigeria, Olusegun Aganga, minister for trade and investment, Omobola Johnson, minister of communication technology, and Chinelo Anohu-Amazu, director-general, Nigerian Pension Commission, will be Anil K. Gupta. He is the Michael Dingman Chair in Global Strategy & Entrepreneurship at the Smith School of Business, The University of Maryland at College Park, and is regarded as one of the 50 most influential management thinkers in the world today.
More than glossy brochures and refreshments Nigeria stands to gain a lot from investment conferences. These events are about more than meet, greet, and speak. They provide answers to the long lists of whys, hows, wheres that investors have scribbled on their iPads. What remains is the recall quotient policymakers and executives need to take home the lessons after the presentation slides flicker off. ;
MARKET DATA
VM | Monday, October 20, 2014 | Issue 015
VM3
TRADING UPDATE Declined Unchanged Advanced
MARKET REVIEW – OCTOBER 13–17, 2014 TOP GAINERS
WTD
TOP GAINERS
WTD
TOP DECLINERS
7-UP Bottling Company
10.24
3.69
United Bank for Africa
Ikeja Hotel
8.65
UPDC Real Estate Investment Trust
Mansard Insurance
8.33
R. T. Briscoe (Nig.)
3.49
Golden Guinea Breweries
5.00
May & Baker (Nig.)
3.45
Academy Press
4.55
International Breweries
3.28
Courteville Investments
1.92
SECTOR PRICE CHANGES – OCTOBER13–17, 2014 WTD
TOP DECLINERS
WTD
Royal Exchange Assurance
-13.56
Transnational Corporation of Nig. -14.57
Lafarge Africa
-13.23
Oando
-14.40
Dangote Sugar Refinery
-12.96
-14.26
Livestock Feeds
-12.34
-13.64
Portland Paints and Products Nig.
-12.00
-16.69
Seplat Petroleum Development Co. Caverton Offshore Support Group
Agriculture Conglomerates Construction/Real Estate Consumer Goods Financial Services Healthcare ICT Industrial Goods Natural Resources Oil & Gas Services
3 1 2 13 22 3 1 8 0 7 7
2 3 6 14 33 5 9 13 5 4 9
0 1 1 4 2 2 1 0 0 0 2
DASHBOARD Friday Ticker 7UP ABCTRANS ACCESS AGLEVENT AIICO AIRSERVICE ASHAKACEM BETAGLAS CADBURY CAP CCNN CONOIL CONTINSURE COURTVILLE CUSTODYINS CUTIX DANGCEM DANGFLOUR DANGSUGAR DIAMONDBNK ETERNA ETI FBNH FCMB FIDELITYBK FIDSON FLOURMILL FO GLAXOSMITH GUARANTY GUINNESS HONYFLOUR INTBREW JBERGER LINKASSURE MANSARD MAYBAKER MOBIL MRS NAHCO NASCON NB NEIMETH NEM NESTLE NIGERINS NNFM OANDO OKOMUOIL PAINTCOM PORTPAINT PRESCO PRESTIGE PZ REDSTAREX ROYALEX RTBRISCOE SEPLAT SKYEBANK SOVRENINS STANBIC STERLNBANK TOTAL TRANSCORP UAC-PROP UACN UBA UBCAP UBN UNILEVER UNITYBNK VITAFOAM WAPCO WAPIC WEMABANK ZENITHBANK
Close 179.55 0.65 8.40 1.39 0.80 1.91 30.68 19.62 52.49 39.00 13.80 44.44 0.91 0.54 4.00 1.88 212.00 6.23 7.15 5.76 3.57 18.06 11.80 4.20 1.94 3.33 60.00 205.11 53.20 26.60 179.61 3.80 31.50 63.84 0.50 2.98 1.79 165.80 53.20 5.00 8.20 165.00 1.02 0.69 969.99 0.50 20.90 21.40 31.35 1.68 4.84 33.73 0.50 28.82 4.00 0.51 0.89 548.31 2.66 0.50 31.11 2.35 171.01 4.69 14.00 53.02 5.29 1.92 8.97 43.56 0.50 4.10 111.06 0.63 0.95 21.40
Change, % 10.25% -2.99% 0.60% 0.00% 0.00% 0.00% -0.07% -6.57% -0.04% 0.36% -2.20% -9.73% -4.21% 1.89% 0.00% -4.57% -0.93% 0.00% -1.38% 3.41% 0.00% -0.22% 7.27% 0.72% -2.51% 0.00% 2.27% -0.96% -3.80% 1.29% -0.22% 7.04% 0.00% 0.00% 4.56% -1.65% -0.31% 0.00% 0.00% -4.09% -2.94% 3.03% -4.17% -0.01% 0.00% -3.25% -2.70% 0.00% -0.79% 0.00% 0.00% -4.76% 0.00% 2.30% -4.76% 0.38% 3.63% 0.86% 0.01% -3.30% -1.89% -0.34% -0.56% -1.03% 2.75% 5.24% 0.00% 0.00% -4.96% -3.08% 1.06% 1.52%
5-day Volume 917 12,786 717,796 269 65,323 715 8,999 14 333 2,168 2,509 454 7,050 1,491 5,756 2,316 1,523 199 34,172 132,675 1,324 283,037 240,373 3,853 523,158 5,227 4,449 1,261 16 168,630 1,036 938 1,964 40 0 625 7,080 425 121 12,394 20,804 22,415 1,738 23,723 911 8 0 72,970 74 0 49 140 500 728 2,534 7,436 1,103 911 51,707 0 8,553 47,917 911 484,103 496 3,834 117,688 47,435 2,475 285 16,886 1,948 16,799 35,179 27,545 142,857
4-Week
Change, Open Week Hi Week Lo % 162.86 179.55 155.11 10.25% 0.69 0.70 0.65 -5.80% 8.77 8.98 8.20 -4.22% 1.33 1.40 1.33 4.51% 0.80 0.81 0.78 0.00% 1.91 2.01 1.91 0.00% 32.00 32.68 29.22 -4.13% 19.00 21.00 19.00 3.26% 54.52 54.52 52.49 -3.72% 39.00 40.90 38.50 0.00% 15.00 15.63 13.80 -8.00% 52.00 52.00 44.44 -14.54% 1.00 1.02 0.91 -9.00% 0.53 0.57 0.52 1.89% 3.98 4.20 3.86 0.50% 1.98 1.98 1.80 -5.05% 217.01 219.94 204.25 -2.31% 6.23 6.23 5.92 0.00% 8.10 8.15 7.00 -11.73% 6.20 6.20 5.31 -7.10% 3.80 3.88 3.57 -6.05% 18.85 19.19 18.05 -4.19% 12.91 13.39 10.93 -8.60% 4.30 4.30 4.00 -2.33% 2.02 2.05 1.86 -3.96% 3.33 3.52 3.33 0.00% 62.16 64.99 58.67 -3.47% 220.50 223.00 205.11 -6.98% 58.06 60.00 53.20 -8.37% 29.57 30.00 25.79 -10.04% 193.98 193.98 179.61 -7.41% 3.83 4.00 3.51 -0.78% 31.00 32.20 29.53 1.61% 60.65 63.84 60.65 5.26% 0.50 0.50 0.50 0.00% 3.00 3.13 2.77 -0.67% 1.83 2.01 1.67 -2.19% 174.00 176.00 165.80 -4.71% 53.20 53.20 53.20 0.00% 4.91 5.18 4.80 1.83% 9.26 9.74 8.15 -11.45% 180.00 181.00 165.00 -8.33% 1.05 1.05 0.98 -2.86% 0.77 0.78 0.69 -10.39% 1,022.00 1,050.00 969.99 -5.09% 0.50 0.50 0.50 0.00% 20.90 20.90 20.90 0.00% 25.20 25.50 20.71 -15.08% 33.00 34.00 31.35 -5.00% 5.23 35.36 0.50 31.92 4.40 0.57 0.89 610.00 2.77 0.50 32.02 2.32 176.00 5.49 14.50 58.00 6.31 2.05 9.06 45.65 0.50 4.27 128.00 0.71 0.99 22.80
5.23 35.50 0.50 33.60 4.40 0.57 0.93 610.00 2.92 0.50 32.50 2.43 177.00 5.70 14.50 58.00 6.64 2.05 9.14 45.85 0.50 4.29 129.35 0.73 0.99 23.88
4.84 33.73 0.50 28.82 4.00 0.51 0.87 548.31 2.52 0.50 30.00 2.28 171.00 4.39 13.80 51.23 5.23 1.90 8.57 41.39 0.50 4.06 111.01 0.61 0.90 20.70
Change, Volume Open Volume % 11,872 140.70 27.61% 22,644 37,587 0.69 -5.80% 183,554 1,937,880 9.59 -12.41% 4,150,166 4,944 1.32 5.30% 27,110 322,533 0.85 -5.88% 1,343,578 2,421 2.00 -4.50% 10,103 45,848 32.40 -5.31% 133,494 693 18.40 6.63% 39,157 13,206 52.50 -0.02% 56,528 11,012 38.21 2.07% 39,184 17,703 14.01 -1.50% 85,837 2,900 47.01 -5.47% 19,228 168,562 0.96 -5.21% 338,445 27,251 0.53 1.89% 151,314 306,334 3.95 1.27% 440,950 21,890 1.84 2.17% 67,724 17,859 224.00 -5.36% 377,214 4,008 6.89 -9.58% 15,616 100,629 8.10 -11.73% 252,854 421,020 6.20 -7.10% 1,539,846 10,763 3.79 -5.80% 99,612 1,264,392 19.00 -4.95% 2,163,748 2,207,248 14.22 -17.02% 5,225,000 475,482 4.14 1.45% 1,436,617 1,529,469 1.96 -1.02% 2,578,997 29,523 3.53 -5.67% 130,349 69,046 59.94 0.10% 135,215 9,046 223.99 -8.43% 26,356 53,660 62.52 -14.91% 99,092 1,057,184 28.95 -8.12% 3,534,258 8,554 175.50 2.34% 66,930 56,398 4.04 -5.94% 164,963 52,419 29.00 8.62% 534,199 279 67.00 -4.72% 7,805 0 0.50 0.00% 1,025 77,491 2.60 14.62% 515,739 70,244 1.44 24.31% 197,509 4,726 174.00 -4.71% 12,560 143 53.20 0.00% 690 68,130 5.05 -0.99% 172,503 39,720 8.85 -7.34% 141,845 141,137 179.00 -7.82% 444,538 9,287 1.05 -2.86% 62,156 95,794 0.79 -12.66% 595,893 9,792 1,050.00 -7.62% 38,382 942 0.50 0.00% 123,171 2 21.90 -4.57% 139 255,421 24.00 -10.83% 1,311,711 12,958 33.21 -5.60% 38,952 0 1.52 10.53% 989 -7.46% 13,161 5.08 -4.72% 26,927 -4.61% 5,809 39.37 -14.33% 15,709 0.00% 512 0.50 0.00% 2,775 -9.71% 8,747 34.00 -15.24% 86,375 -9.09% 47,400 4.53 -11.70% 139,605 -10.53% 120,909 0.52 -1.92% 156,138 0.00% 8,816 0.94 -5.32% 29,380 -10.11% 2,167 640.00 -14.33% 77,537 -3.97% 560,186 2.65 0.38% 6,556,040 0.00% 100,312 0.50 0.00% 104,335 -2.84% 61,374 30.02 3.63% 205,999 1.29% 494,800 2.17 8.29% 1,469,246 -2.84% 2,422 172.53 -0.88% 5,626 -14.57% 1,668,921 5.87 -20.10% 5,403,020 -3.45% 6,693 14.50 -3.45% 37,666 -8.59% 47,121 57.49 -7.78% 223,144 -16.16% 638,067 6.92 -23.55% 2,185,819 -6.34% 146,961 2.05 -6.34% 2,179,279 -0.99% 53,582 9.70 -7.53% 121,352 -4.58% 88,846 50.00 -12.88% 132,226 0.00% 160,351 0.50 0.00% 758,834 -3.98% 10,891 4.06 0.99% 43,640 -13.23% 39,121 127.90 -13.17% 105,234 -11.27% 282,799 0.72 -12.50% 1,332,477 -4.04% 204,150 0.91 4.40% 362,226 -6.14% 1,553,126 24.65 -13.18% 4,666,937
5-Week trading1
52-Week price range Low 68.00 0.65 7.22 1.25 0.74 1.91 13.87 12.00 49.90 35.96 8.00 33.33 0.91 0.50 1.67 1.59 185.00 5.92 7.00 5.31 2.48 12.40 10.93 3.01 1.85 1.91 58.10 61.24 53.20 22.67 162.00 2.80 20.64 59.18 0.50 1.96 1.33 111.01 32.63 4.56 8.15 140.00 0.79 0.55 950.00 0.50 18.00 10.60 31.35 1.33 4.00 33.73 0.50 28.82 4.00 0.50 0.84 548.31 2.52 0.50 19.00 2.09 146.26 1.63 12.80 42.58 5.23 1.24 8.00 41.39 0.50 3.87 95.01 0.61 0.85 19.50
Close ( )
High
YtD
179.55 151.36% 0.97 -16.86% 10.65 -12.50% 1.86 -14.72% 1.00 -13.04% 3.97 -42.99% 34.60 40.22% 22.10 35.97% 110.00 -45.99% 51.66 -18.72% 15.98 15.10% 79.80 -27.53% 1.29 -24.17% 0.89 -16.92% 4.30 83.49% 2.27 -3.59% 250.02 -1.92% 10.76 -39.10% 12.49 -36.73% 8.20 -23.20% 5.73 -24.52% 20.28 10.19% 17.29 -27.61% 4.64 9.38% 2.95 -28.15% 3.72 21.09% 83.64 -26.67% 259.94 120.86% 74.97 -24.00% 31.80 -4.14% 262.00 -23.90% 4.50 -1.30% 32.20 11.23% 76.45 1.22% 0.50 0.00% 3.15 19.20% 2.64 -29.80% 182.00 42.93% 70.00 2.86% 6.46 -21.26% 15.10 -44.78% 189.00 -0.01% 2.08 -7.27% 0.97 -14.81% 1,250.01 -17.94% 0.54 0.00% 25.57 -5.04% 36.89 -19.94% 45.99 -30.07% 2.23 -13.85% 6.25 -7.81% 49.00 -13.51% 0.81 -20.63% 41.46 -22.10% 5.35 -5.88% 0.69 -5.56% 1.49 -36.88% 735.00 -9.34% 4.67 -41.02% 0.50 0.00% 35.00 39.26% 2.74 -6.00% 195.50 -1.32% 7.08 8.06% 21.31 -8.95% 67.85 -5.31% 9.60 -42.19% 3.04 -15.42% 10.89 -6.66% 64.00 -17.81% 0.69 0.00% 5.70 -14.76% 136.73 -3.43% 1.48 -44.25% 1.40 -25.78% 27.40 -14.40%
PE
EPS
36.52
17.97
4.46 0.21 1.57 0.23 0.15 0.50 0.80 3.38 1.57 1.67 1.12 3.34 0.16 0.11 0.24 0.19 11.80
8.70 3.53 6.15 4.97 5.46 4.78 2.85 13.88 18.17 46.61 18.68 8.14 22.84 11.32 49.98 9.97 12.57 19.55 20.00 15.88 53.85 15.39 7.77 31.59
0.81 1.65 0.61 3.67 2.16 0.88 0.68 0.24 3.38 4.63 3.00 3.27 7.88 0.34 0.63 6.74 0.04 0.15 0.09 10.44 1.04 0.32 1.05 5.24
34.00
28.82
19.20 14.41 4.57 8.09 4.24
1.11 2.29 0.35 0.60 8.38
22.63 6.54 5.09
1.34 0.61 0.10
3.18 3.36 16.13 3.73 13.25 53.45 6.59 23.91 3.11 6.62 46.00 33.46 4.65 6.04
0.84 0.15 1.92 0.63 12.91 0.09 2.20 2.14 1.70 0.29 0.19 1.37 0.11 0.71
9.00
0.07
6.18
3.46
3.10
5.28 5.91 5.13 3.82 38.35
5.92
33.45 23.30 12.50 14.75 5.69 4.82 16.29
9.89
Liquidity Rating2
LEGEND 5-week trading bar: This bar shows the volume of the company’s shares traded during the 5 most recent weeks. Each alternate colour bar represents a consecutive week. The bar is to be read from left to right. The first bar on the left (light blue) represents the traded volume five weeks ago. The next bar (grey) represents the volume 4 weeks ago. The 5th and last bar (light blue) signifies the volume of shares exchanged last week. The purpose of the Weekly Trading bar is to give readers an instant view of trading volumes as they compare on a week-by-week basis. 1
Liquidity Rating: This indicates the level of demand for a company’s shares based on the number of deals rather than volume done over the past week. Stocks are graded according 5 categories. Blue spheres are used to represent liquidity. • Category 5: This is the highest liquidity rating shown by 5 blue spheres. Stocks that have traded more than 20 deals per day on at least 4 days in the past week are awarded this score • Category 4: This is shown by 4 blue spheres. It indicates that the stock has 2
traded between 12 to 19 deals per day on at least 4 days in the past week • Category 3: Shown with 3 spheres, this liquidity classification represents those stocks that have traded 8 to 11 deals per day on at least 4 days in the past week • Category 2: Shown with 2 spheres it identifies those stocks that traded 4 to 7 deals per day on at least 4 days in the past week • Category 1: This is shown by one blue sphere to represent stocks on which 3 deals and/or below were traded per day on at least 4 days in the week.
VM4
MARKET DATA
VM | Monday, October 20, 2014 | Issue 015
MARKET SNAPSHOT 3-MONTH PRICE TREND OF BELLWETHER STOCKS
ACCESS
8.40 0.37
7.22 YtD
PE 5.28
10.65 -1.20 -12.50%
3M
-1.55 -15.58%
-0.37 -4.22%
1W
13/10
July
August
September
CONTINSURE 0.91 YtD
-0.29 -24.17%
3M
PE 5.69 -0.09 -9.00%
1W
13/10
July
August
September
FCMB 0.36 9.38%
3M
0.01 0.24%
-0.10 -2.33%
1W
13/10
July
August
September
GUARANTY -1.15 -4.14%
3M
-3.42 -11.39%
-2.97 -10.04%
1W
13/10
July
August
September
MANSARD 0.48 19.20%
3M
0.42 16.41%
-0.02 -0.67%
1W
13/10
July
August
September
OANDO YtD
3M
-4.24 -16.54%
-3.80 -15.08%
1W
13/10
July
August
September
STANBIC YtD
PE 16.13
35.00 3M
3.89 14.29%
1W
13/10
July
August
September
UBA
-0.91 -2.84%
F
PE 3.11
9.60 -3.86 -42.19%
3M
-2.71 -33.88%
1W
-1.02 -16.16%
-1.32 -4.13%
13/10
July
August
September
DANGCEM YtD
250.02 -4.16 -1.92%
3M
-28.00 -11.67%
PE 17.97 -5.01 -2.31%
1W
13/10
July
August
September
FIDELITYBK 1.85 YtD
3M
PE 2.85 -0.08 -3.96%
1W
13/10
July
August
September
GUINNESS
262.00 -56.40 -23.90%
3M
-17.50 -8.88%
-14.37 -7.41%
13/10
July
August
September
MOBIL
182.00 49.80 42.93%
3M
11.30 7.31%
-8.20 -4.71%
13/10
July
August
September
OKOMUOIL YtD
3M
-1.70 -5.14%
-1.65 -5.00%
1W
13/10
July
August
September
TOTAL YtD
195.50 3M
-17.57 -9.32%
-4.99 -2.84%
13/10
July
August
September
UNILEVER
PE 33.46
64.00 -9.44 -17.81%
F
3M
-9.04 -17.19%
1W
-2.09 -4.58%
PE 33.45 -2.03 -3.72%
1W
13/10
July
August
September
DIAMONDBNK 5.31 YtD
-1.74 -23.20%
3M
PE 3.53
-0.54 -8.57%
-0.44 -7.10%
1W
13/10
July
August
September
FLOURMILL 58.10 YtD
3M
PE 18.17 -2.16 -3.47%
1W
13/10
July
August
September
HONYFLOUR 2.80 YtD
3M
PE 11.32 -0.03 -0.78%
1W
13/10
July
August
September
NASCON -6.65 -44.78%
3M
-2.39 -22.57%
-1.06 -11.45%
1W
13/10
July
August
September
PRESCO YtD
3M
-3.30 -8.91%
-1.63 -4.61%
1W
13/10
July
August
September
UACN 3M
-9.03 -14.55%
1W
13/10
July
August
September
WAPCO
F
3M
-7.94 -6.67%
1W
PE --16.94 -13.23%
0.00 0.00%
1W
13/10
July
August
September
ETI YtD
PE 4.97
20.28 1.67 10.19%
3M
0.86 5.00%
-0.79 -4.19%
1W
13/10
July
August
September
FO
259.94 112.24 120.86%
3M
-24.89 -10.82%
-15.39 -6.98%
13/10
July
August
September
INTBREW 3.18 11.23%
3M
2.00 6.78%
0.50 1.61%
1W
13/10
July
August
September
NB
189.00 -0.01 -0.01%
3M
-11.25 -6.38%
-15.00 -8.33%
13/10
July
August
September
PZ -8.18 -22.10%
3M
-9.18 -24.16%
1W
13/10
July
August
September
August
3M
1W
September
ZENITHBANK 19.50 YtD
3M
-0.50 -3.45%
17/10
M T W T
F
21.40 1.40 PE 6.18
27.40 -3.60 -14.40%
F
PE 6.59
21.31 -3.61 -20.50%
13/10
July
17/10
M T W T
14.00 0.50
12.80 -1.38 -8.95%
-3.10 -9.71%
August
September
FBNH
13/10
September
17/10
M T W T
F
13/10
July
August
September
17/10
M T W T
F
13/10
July
August
September
-3.80 -15.08%
17/10
M T W T
F
1W
13/10
July
August
PE 5.46
17.29 -4.50 -27.61%
-4.10 -25.79%
3M
-1.11 -8.60%
1W
13/10
July
August
September
GLAXOSMITH
-13.16 -19.83%
3M
-4.86 -8.37%
1W
13/10
July
August
September
JBERGER
17/10
M T W T
PE 9.97
76.45 0.77 1.22%
-0.26 -0.41%
3M
3.19 5.26%
1W
13/10
July
August
September
NESTLE
17/10
M T W T
1250.01 -212.01 -17.94%
-155.02 -13.78%
3M
PE 34.00 -52.01 -5.09%
1W
13/10
July
August
September
SEPLAT
17/10
M T W T
PE --
735.00 -56.49 -9.34%
-151.69 -21.67%
3M
-61.69 -10.11%
1W
13/10
July
F
548.31 61.69
548.31 YtD
F
969.99 52.01
950.00 YtD
F
63.84 3.19
59.18 YtD
F
PE 18.68
74.97 -16.80 -24.00%
17/10
M T W T
53.20 4.86
53.20 YtD
F
11.80 1.11
10.93 YtD
17/10
M T W T
August
September
17/10
M T W T
F
-1.40 -6.14%
1. 52-week low price 2. Year low price 3. Current price 4. Year high price 5. 52-week high price 6. Current price 7. 5-day price change 8. PE ratio 9. 1-year price change 10. 3-months price change 11. 1-week price change 12. Daily price movement over 3 months. 13. 30-day moving average 14. Daily price movement over last week
1 2 TICKER
4
3
19.23 1YtD
5
25.23 0.018
September
17/10
M T W T
F
PE 7.29
27.406 0.23 0.92%
3M
2.90 12.99%
7 0.01
1W
0.04%
10
12
August
-1.20 -8.00%
13/10
July
9
July
PE 12.50
1W
LEGEND
UAC-PROP YtD
F
PE 22.63
41.46
2.54 22.56%
3M
17/10
M T W T
28.82 3.10
28.82 YtD
F
PE 31.59
1W
1.81 15.10%
17/10
M T W T
165.00 15.00
140.00 YtD
F
PE 49.98
32.20
YtD
15.98
17/10
M T W T
31.50 0.50
20.64 YtD
F
PE 46.61
1W
13.80 1.20
8.00
17/10
M T W T
205.11 15.39
61.24 YtD
F
18.06 0.79
12.40
CCNN
17/10
M T W T
17/10
M T W T
136.73 -3.94 -3.43%
-4.98 -8.59%
111.06 16.94
95.01 YtD
F
PE 23.91
67.85 -2.97 -5.31%
-0.20 -0.51%
17/10
M T W T
53.02 4.98
42.58 YtD
F
PE 4.24
49.00
3M
17/10
M T W T
33.73 1.63
33.73 -5.27 -13.51%
F
PE 7.77
15.10
-8.98 -18.72%
17/10
M T W T
8.20 1.06
8.15 YtD
F
3.80 0.03 -0.56 -12.84%
YtD
PE 23.30
51.66
17/10
M T W T
4.50 -0.05 -1.30%
F
60.00 2.16 -8.51 -12.42%
39.00 0.00
35.96
17/10
M T W T
83.64 -21.82 -26.67%
F
5.76 0.44 8.20
CAP
17/10
M T W T
17/10
M T W T
43.56 2.09
41.39 YtD
F
PE 13.25
1W
-19.01 -26.59%
17/10
M T W T
171.01 4.99
146.26 -2.29 -1.32%
F
PE 14.41
45.99
3M
17/10
M T W T
31.35 1.65
31.35 -13.48 -30.07%
F
PE 15.88
1W
-44.69 -45.99%
17/10
M T W T
165.80 8.20
111.01 YtD
F
PE 22.84
1W
YtD
110.00
17/10
M T W T
179.61 14.37
162.00 YtD
F
1.94 0.08 -0.04 -2.02%
52.49 2.03
49.90
17/10
M T W T
2.95 -0.76 -28.15%
F
212.00 5.01
185.00
CADBURY
17/10
M T W T
17/10
M T W T
5.29 1.02
5.23 YtD
F
PE 38.35
1W
17/10
M T W T
31.11 0.91
19.00 8.77 39.26%
F
PE 19.20
36.89
-2.32 -7.03%
17/10
M T W T
21.40 3.80
10.60 -5.33 -19.94%
F
PE 19.55
3.15
3M
17/10
M T W T
2.98 0.02
1.96 YtD
F
PE 8.14
31.80
8.80 40.22%
17/10
M T W T
26.60 2.97
22.67 YtD
F
PE 4.78
4.64
YtD
30.68 1.32 34.60
17/10
M T W T
4.20 0.10
3.01 YtD
F
0.91 0.09 -0.24 -20.87%
13.87
17/10
M T W T
1.29
ASHAKACEM
11 14
13 May
21/07
June
July
25/07
M T W T
F
MARKET DATA
VM | Monday, October 20, 2014 | Issue 015
VM5
MARKET SNAPSHOT +160% SLIPPING +150%
19
LEADING
Bubble size = Market Cap
+140% +130% 11
+120% +110%
WTD
YTD
1 DANGCEM
-2.31 -1.92
2 NB
-8.33 -0.01
3 GUARANTY
-10.04 -4.14
4 NESTLE
-5.09 -17.94
5 ZENITHBANK
-6.14 -14.40
6 FBNH
-8.60 -27.61
7 WAPCO
-13.23 -3.43
+90%
8 STANBIC
-2.84 39.26
+80%
9 ETI
-4.19 10.19
+70%
10 GUINNESS
-7.41 -23.90
+60%
11 FO
-6.98 120.86
+100% YEAR-TO-DATE RETURN
# TICKER
+50% 29 28 2
+40%
8
+30% +20% +10%
9
14
0%
2
7
3
-10% -20%
20 36
-30%
NSE30 NSEBNK
-7.61% 0.19%
NSEINS
-0.29% -0.96%
NSECNSMRGDS
-5.79% -1.23%
26
38 39
23
-15%
YtD, %
-6.30% -0.51%
4
15
Indices ASI
12 16 34 17 37 335 31
5
33
18
40
24
-40% -50% LAGGING -20%
-5.55% -0.76%
32 6
25
30 1
22 10
13
21
27
10%
WtD, %
-5% 0% WEEK-TO-DATE RETURN TRADING BREAKDOWN BY SECTOR
DtD, %
Sector -7.58%
%
Financial Services
77 \ 50
Conglomerates
9
Services
5\5
Others
9\6
-9.37%
-14.19%
FGN Bond Index 3100
-4.93%
-12.73%
-6.78%
NSEOILGAS 0.03%
23.66%
-5.36%
NSELOTUSISLM -1.08%
-11.50%
-6.90%
NSEINDUSTR -2.61%
13.2
Market Value YTD Return
3075
12.4
3050
11.6
3025
10.8
-0.42%
-15%
-12%
-9%
-6%
-3%
3000 10.0 13/10 15/10 17/10
1%
5%
10%
IMPROVING 15%
GLOBAL INTEREST RATES & INFLATION TARGETS Central Last Date % Inflation Rate Bank Change Change Target China 6.00% 05.07.2012 -0.31 4.00% Japan 0-0.10% 05.10.2010 -0.20 2.00% UK 0.50% 05.03.2009 -0.50 2.00% USA 0-0.25% 16.12.2008 -0.1 2.00% Eurozone 0.05% 04.09.2014 -0.10 <2.00% Brazil 11.00% 02.04.201 +0.25 4.5% +/-2.0% Canada 1.00% 20.07.2010 +0.25 2.0% +/-1.0% Egypt -0.50 8.25% 05.12.2013 India 8.00% 28.01.2014 +0.25 Indonesia 7.50% 12.11.2013 +0.25 4.5% +/-1.0% Malaysia 3.25% 10.06.2014 +0.25 Mexico 3.00% 06.06.2014 -0.50 3.00% +/-1.0% Morocco 3.00% 28.03.2012 -0.25 Nigeria 12.00% 10.10.2011 +2.75 6.00% - 9.00% Qatar 4.50% 10.08.2011 -0.50 Russia 8.00% 28.07.2014 +0.50 5%* Thailand 2.00% 12.03.2014 -0.25 0.5% - 3.0% Turkey 8.75% 24.06.2014 -0.75 5.00% * +/- 1.5 pct point uncertainty band
12 ACCESS
-4.22 -12.50
13 OANDO
-15.08 -19.94
14 TRANSCORP
-14.57 8.06
15 UBA
-16.16 -42.19
16 UNILEVER
-4.58 -17.81
17 FLOURMILL
-3.47 -26.67
18 UBN
-0.99 -6.66
19 7UP
10.25 151.36
20 PZ
-9.71 -22.10
21 INTBREW
1.61
22 UACN
-8.59 -5.31
23 CADBURY
-3.72 -45.99
24 DANGSUGAR
-11.73 -36.73
25 JBERGER
5.26
26 DIAMONDBNK
-7.10 -23.20
27 FCMB
-2.33
28 ASHAKACEM
-4.13 40.22
29 MOBIL
-4.71 42.93
30 TOTAL
-2.84 -1.32
31 FIDELITYBK
-3.96 -28.15
32 GLAXOSMITH
-8.37 -24.00
Deals
Turnover Volume
Turnover Value
Traded Stocks
Declined Stocks
Unchanged Stocks
All Shares Index Value
1
13.10.14
4,483
191,703,953
2,801,763,660.01
110 \ 105
16 \ 20
35 \ 26
59 \ 59
40,051.29
2
14.10.14
5,100
386,477,200
4,794,741,791.38
111 \ 110
14 \ 18
39 \ 35
58 \ 57
39,681.71
3
15.10.14
5,497
420,010,971
4,612,296,272.60
112 \ 112
8 \ 15
41 \ 30
63 \ 67
39,278.47
4
16.10.14
4,779
524,220,985
7,659,640,963.87
102
10
41
51
38,490.67
5
17.10.14
4,846
362,564,273
3,864,047,095.59
106
13
39
54
38,197.73
The \ arrow signifies week-on-week change in value. This week’s value is shown on the left of the \ sign, and last week’s value on the right.
1.29
-3.97 -41.02
Index
Week Opening
Week Close
Change
WtD
MtD
QtD
YtD
1
All Shares Index
40,444.39
38,197.73
2,246.66
-5.55
-7.31
-7.31
-7.58
2
NSE 30 Index
1,844.59
1,728.41
-116.18
-6.30
-8.17
-8.17
-9.37
3
NSE Banking Index
415.96
384.31
-31.65
-7.61
-9.61
-9.61
-14.19
4
NSE Insurance Index
145.75
145.33
-0.42
-0.29
-2.59
-2.59
-4.93
5
NSE Consumer Goods Index
1,019.20
960.20
-59.00
-5.79
-7.00
-7.00
-12.73
6
NSE Oil/Gas Index
450.87
420.28
-30.59
-6.78
-8.80
-8.80
0.00
7
NSE Lotus Islamic Index
2,677.45
2,533.81
-143.64
-5.36
-7.05
-7.05
-11.50
8
NSE Industrial Index
2,723.85
2,535.90
-187.95
-6.90
-7.34
-7.34
-0.42
-6.00
35 PRESCO
-4.61 -13.51
36 CONOIL
-14.54 -27.53
37 OKOMUOIL
-5.00 -30.07
38 CAP
0.00 -18.72
39 MAYBAKER
-2.19 -29.80
40 NEIMETH
-2.86 -7.27
NSEASI
38,197.73
40,80 40,10 39,40 38,70 38,00 Th
Fr
S&P 500
We
Th
Fr
1,886.75
1,910 1,895 1,880 1,865 1,850 Fr
Mo
Tu
FTSE 100
INDEX PERFORMANCE
9.38
34 SKYEBANK
We Advanced Stocks
1.22
33 STERLNBANK
MARKET SNAPSHOT Date
11.23
We
Th
Fr
6,310.29
6,420 6,360 6,300 6,240 6,180 Fr
Mo
Tu
JSE FTSE
We
Th
Fr
47,836.69
48,00 47,50 47,00 46,50 46,00 Fr
Mo
Tu
We
Th
Fr
VM6
ARENA
VM | Monday, October 20, 2014 | Issue 015
ART AS AN ALTERNATIVE INVESTMENT
Anatsui, Enwonwu, and Grillo top Arthouse’s November presales
Oliver Enwonwu is the director of leading Lagos gallery, Omenka and president of the Society of Nigerian Artists. oliver@omenkamagazine.com
AST WEEK, WE brought you a preview of emerging auction house, Sogal’s forthcoming sales. As the Lagos art auctions’ season gets hotter, this week we will preview the 13th sales of modern and contemporary art held twice a year by leading Lagos-based auction house, Arthouse Contemporary Limited. This November 3 sales will feature 111 lots drawn from artists across Africa including Nigeria, Ghana, and the Republic of Benin. The highlights of the evening include Ben Enwonwu’s Elongated Female Figure, wood, 1978, 160cm, estimat-
L
ed between N12,000,000N15,000,000 ($75,000$93,750). The female figure stands erect and graceful with her arms outstretched above her head, her hands held together in a clasp. A complex network of flattened geometrical shapes and forms, lead the eye from the chest of the figure to the base and are evidence of the celebrated artist’s long exploration of classical African sculpture. The work is probably a precursor of two bronze female figures at the departure lounge of the Murtala Mohammed International Airport, Lagos, both standing over 15ft tall. Also expected to fetch a princely sum is Yusuf Grillo’s Hawker in Blue, oil on board, 1964, 58x70cm estimated between N10,000,000N12,000,000 ($62,500$75,000). Grillo, an iconic figure in narratives of modern Nigerian art, is well-known for his distinctive style which adopts the geometric planes of classical African sculpture and the rich blue hues of traditional Yoruba textiles. Renowned Ghanaian sculptor, El-Anatsui also has a work featured among the top lots. Mask, manganese body and clay, 1978, 30.5cm is val-
Yusuf Grillo, Hawker in Blue, Oil on Board, 1964, 58 X 70cm (23x 27.5in) Est. N10,000,000-N12,000,000 ($62,500-$75,000) Ben Enwonwu, Elongated Female Figure, 1978, 160cm (63in), N12,000,000-N15,000,000 ($75,000-$93,750)
ued between N10,500,000N12,000,000 ($65,630$75,000). Other established names featuring in the auction include celebrated sculptors
Ben Osawe, Sokari DouglasCamp, Owusu-Ankomah, Ablade Glover, and Gani Odutokun. This November, Arthouse is expected to achieve over
$1,150,000, a steep increase from its May 5 sales held earlier this year, which achieved a total of N39,288,000 ($530,785), a 57% reduction from its presale estimate of N200,000,000 ($1,250,000). Of the lots featured, the highest selling work of the evening was Anatsui’s Nsukka Shrine, clay, 57x44.5cm, at N8,580,000 ($53,625) against its previous estimate of N7, 000,000– N9,000,000,000 ($43,750$56,250). In second place was Enwonwu’s Felling Trees, 1943, wood plaque 32x105cm, N7,700,000 ($48,125) with a presales estimate between N7,000,000-9,000,000 ($43,750-56,250). Again, photography does not feature strongly in this November auction, with a combined estimate of N3,850,000-N4,850,000 ($24,070-$30,320). Only four photographers are included in sales: George Osodi, Yetunde Ayeni-Babaeko, Kelechi AmadiObi and Ade Adekola, whose 1914-The Amalgamation of Identity and the Creation of…?, C-print mounted on Plexiglas, edition 2 of 5, 100x100cm has a presale estimate of N1,800,000-2,000,000 ($ 11,250-12,500). ;
JAYWALKER TIMELINE OF PAYWALLS
Paywalls returning to Nigerian media sites W Continued from Page VM2 The website is back to providing all content for free, at least, for the time being. There is a high probability that paid subscriptions would be reintroduced at a later date. The site’s About Us page provides a pointer to that. ‘BusinessDay is currently working on a partial pay-wall which will be launched for its website in the near term but at the moment access to the site and the content remains free of charge. The backtracking by Punch’s management in 2009 did not foreclose the debate. The recent takedown
of Lindaikeji.blogspot. com by Google, the owner of the blogging platform, for plagiarism and unauthorized distribution presents an opportunity for media houses to put a lie to the circular reasoning that their content can, and by extension, should be read for free elsewhere if they do not provide free access on their own sites. By policing sites notorious for stealing content and pursuing them by legal means, they can restore a measure of control over where their content is accessed. This is not to imply that paywalls will work for all. Even after adoption, it requires regular tinkering
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The New York Times lifts a $35 monthly fee for overseas readers to boost online advertising revenue.
and monitoring to adapt to reader behaviour. Publishers also need to give readers an incentive to pay for access. There has got to be a goodiebag component. Paywalls are a trade-off that each paper should weigh with careful consideration. What works for Paper A, may not work for Paper B. If and when the BusinessDayOnline.com paywall trial balloon goes up again, it would be instructive for other newspapers to study their strategy and execution to draw lessons on the future of news distribution business models. ;
EDITOR: MIDENO BAYAGBON GROUP BUSINESS EDITOR: OMOH GABRIEL
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One year after launching WSJ.com, the Wall Street Journal becomes one of the first national papers to install a paywall, charging $50 a year for access
CONTENT DIRECTION: OBIORA TABANSI ONYEASO DESIGN & ILLUSTRATION: PUBLICAN MEDIA
January 1997 April 1998 July 1998 August 2003
The L.A. Times dismantles its paywall after a 97% decline in readership of restricted content
May 2005 October 2007
WSJ.com celebrates its millionth online subscriber.
May 2007 March 2009
Punch puts up a paywall requiring visitors to pay N1,500 per month for access to content The New York Times announces it will begin charging for online content from January 2011, using a ‘metered model’ similar to that of the Financial Times. BusinessDayOnline.com briefly experiments with a paywall. It is removed within 48 hours.
WSJ.com surpasses 200,000 online subscribers.
May 2009 November 2009 January 2010 June 2010 October 2014
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The Los Angeles Times starts charging $4.95 a month for access to its online entertainment section. The Financial Times, which began charging for content in 2001 six years after launching FT.com, adopts the first ‘metered model’ paywall. Punch, the Nigerian daily, introduces Punch Mobile at mobile.punchng. com charging N600 for the monthly subscription.
Punch tears down its paywall The Times of London, which like WSJ. com is owned by Rupert Murdoch, puts its content behind a $3-a-week paywall. It promptly loses a large share of its online readership estimated at 90%.
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