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Vanguard Markets, October 20, 2014 edition

Page 1

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

In Association With

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

Vanguard Markets features unbiased, in-depth coverage of corporate and market developments across a wide range of business sectors. Every week, Vanguard Markets delivers essential business analysis and commentary on Nigerian companies, regional economies, and global markets. Vanguard Markets is published by Vanguard Media Limited in association with Customs Street Advisors Limited, a specialist communications consultancy.

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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Vanguard Markets, October 20, 2014 edition by Customs Street Advisors - Issuu