Dangote Cement Plc has suspended plans for a secondary listing and share offering on the London Stock Exchange (LSE), citing unfavourable market conditions and the company’s strategic priorities. The decision was announced following a board meeting held on November 10, with the company and its selling shareholder, Dangote Industries Limited, deciding not to proceed with the proposed listing at this time. The company, however, noted that the decision does not affect its operations or business plans, and its shares will continue to trade on the Nigerian Exchange (NGX).
The proposed London listing, first disclosed in May 2026, aimed to expand Dangote Cement’s access to international investors and improve liquidity for existing shareholders. The transaction was expected to involve the sale of more than 10% of the company’s shares, with reports indicating a potential valuation of about $1 billion. This decision is attributed to increased volatility in global equity markets following the recent sell-off in technology stocks. For the Nigerian market, Dangote Cement’s decision means the company will retain its sole listing on the NGX for now, without the additional international investor base and liquidity that a London listing could have provided.
The Debt Management Office (DMO) has revised its FGN Bond Issuance Calendar for November and December 2026, introducing shorter-dated securities in place of the longer maturities previously scheduled. The revised offer will be spread across four maturities, comprising ₦700bn of the 21.00% FGN March 2028 bond, ₦250bn of the 19.30% FGN April 2029 bond, ₦750bn of the 17.945% FGN August 2030 bond and ₦300bn of the 19.89% FGN May 2033 bond at each auction. This represents a shift from the earlier calendar, which featured the 2034, 2036 and 2038 maturities, indicating a change in the DMO’s borrowing strategy towards shorter-dated instruments. The change is likely to influence positioning in the secondary market, as investors may look to reduce existing holdings to create room for the new offers. This could keep some pressure on the 2028–2033 segment, particularly as investors compare the yields available on the new issuance with those of existing Treasury Bills, OMO and FGN Bonds. However, the new offers could also attract demand from investors looking to secure longer-term returns without taking on as much duration risk.
Money Market
System liquidity saw a decreasing trend throughout the trading week, opening at ₦6.09 trillion on Monday and closing at ₦3.97 trillion driven by OMO and NTB outflows. Week-on-week, the Nigerian Overnight Financing Rate (NOFR) held steady to close at 20.00%, while the Overnight (OVN) rates increased by 23bps to close at 20.43%.
We expect rate to continue to hover around this level.
Treasury Bills Market
The Treasury Bills market traded on a mixed note this week, with activity driven OMO and NTB outflows. The week started on a calm note, with activity concentrated in the OMO segment as investors showed selective interest in April maturities. The 20-Apr OMO was quoted at 17.60%/17.25%, while trades were consummated on the 6-Apr paper at 17.20%. As the week progressed, attention shifted to the primary market, following the CBN’s OMO auction and the DMO’s NTB auction. The OMO auction attracted strong demand, with subscriptions reaching ₦4.07trn against an allotment of ₦3.85trn, while stop rates settled at 17.44%, 16.68% and 15.99% across the three tenors. At the NTB auction, the DMO received subscriptions of ₦1.21trn and allotted ₦713.30bn. Stop rates on the 91-day and 182-day papers held steady at 15.40% and 15.79%, respectively, the 364-day stop rate increased by 9bps to 15.89%. Activity in the secondary market remained relatively quiet following both auctions, with the newly issued 11-Nov NTB quoted at 15.90%/15.70%. Towards the end of the week, selling pressure emerged across the curve as some investors reduced their bills and OMO positions ahead of the upcoming bond auction. The DMO’s decision to introduce shorter-dated bonds also encouraged some portfolio repositioning. However, the market closed on a mildly positive note, as the newly issued 11-Nov was quoted at 15.85%/15.75% to close the week. Week-on-week, the average benchmark yield declined by 5bps to close at 17.80%.
We expect the market to remain cautious at the start of the week as investors position ahead of Monday’s bond auction.
FGN Bond Market
The FGN Bond market traded on a mixed note this week, driven by the DMO’s revised Q4 issuance calendar and profit taking. The week started on a quiet note, with limited interest across the curve, as investors remained reluctant to adjust their positions at prevailing yield levels. However, sentiment improved following the release of the revised issuance calendar, which shifted the DMO’s focus towards shorter-dated securities, with the 2034, 2036 and 2038 maturities removed from the upcoming supply. The change in the issuance triggered renewed buying interest in the mid-long end, particularly on the 2036 maturity, where yields declined from 16.95%/16.80% to 16.65%/16.50%, with trades consummated around 16.60%. The 2037 and 2038 maturities also witnessed improved demand as investors moved to take advantage of the available yields ahead of the reduced supply of longer-dated bonds. However, the rally gradually lost momentum as some investors began to lock in profits, while others adopted a more cautious approach ahead of the bond auction. This led to a gradual reversal in yields, with the 2036 maturity repricing higher to 16.76%/16.68% towards the end of the week. The 2038 maturity also closed the week quoted at 16.80%/16.70%, reflecting a slight uptick from previous session. Week-on-week, the average benchmark yield declined by 10bps to close at 16.08%.
We expect investor participation to remain strong at Monday’s bond auction, particularly as the DMO’s revised calendar introduces significant supply across the short end of the curve.
FGN Eurobond Market
The Eurobond market traded on a mixed note this week, as sentiment was largely driven by developments in the U.S.-Iran conflict and changing expectations around the Fed’s rate outlook. The week started on a positive note, as hopes of a possible diplomatic resolution in the Middle East supported sentiment across the curve. This followed President Trump’s comments that further military action against Iran was unlikely, which supported buying interest across the curve, particularly as oil prices declined. However, sentiment weakened as the week progressed following hotter-than-expected U.S. CPI data, which strengthened expectations of a December rate hike, alongside hawkish comments from Fed officials which further pressured the market. The situation was heightened by renewed tensions around the Strait of Hormuz, with reports of attacks on vessels and President Trump’s remarks that the U.S. no longer needed a deal with Iran. Towards the end of the week, renewed Iranian threats following claims of an attack on a U.S. military radar in Bahrain kept geopolitical concerns elevated. However, softer-than-expected U.S. PPI data, which rose by 0.3% against expectations of 0.4%, provided some relief as traders reduced expectations of a December rate hike. Week-on-Week, the average benchmark yield increased by 9bps to close at 7.09%.
We expect market direction to be driven by evolving geopolitical developments and FOMC minutes.
Currency Market
The value of the Naira to the dollar depreciated by 0.53% week on week to close at ₦1,353.97/$ at the Nigerian Foreign Exchange Market Window (NFEM).
Equities Market
The local bourse ended the day with the benchmark NGX All-Share Index (ASI) increasing by 0.15% to close at 252,749.79 points while market capitalisation also increased to close at N165.45 trillion. Market breadth was negative at 0.86x. Trading activity was significantly active on the day, with the volume of shares traded decreasing by 19.63% to 320.89 million units, while total value of shares traded decreased by 50.03% to ₦26.03 billion.
Reflecting the week’s performance, the NGX All-Share Index appreciated by 1.36%, as gains in CHAMPION (+27.27%), CAVERTON (+20.55%), and MANSARD (+16.10%) were offset by declines in LIVINGTRUST (-18.53%), THOMASWY (-12.31%), and OKOMUOIL (-10.90%).
Overall, the NGX has posted a year-to-date gain of 62.11%. Other notable indices are the NGX Top 30 Index (+0.14%; 1.57% 1WK; 64.21% YTD), NGX Banking Index (+0.34 %; -0.21% 1WK; 56.01% YTD), NGX Oil & Gas Index (0.00%; 1.29% 1WK; +122.25% YTD), and NGX Insurance Index (+1.39 %; 4.44% 1WK; -9.84% YTD).
