Uganda: Batu Share Price Increase Continues

Source from:  The Monitor (Kampala) 28 September 2007 09/28/2007

The upward trend of the British American Tobacco share price this week increased to its highest in four weeks. According to Tuesday's trading the Batu share gained by Shs25 after opening at Shs305 and closing at Shs330. The counter was the day's highest riser by 8.2 per cent. Mr Peter Mushangwe, a trading and research expert at the Renaissance Capital, attributed the positive shift in price to the investors' growing confidence in the company and 'market correction.' "Investors had initially overreacted to BATU's misfortunes by taking the share price to Shs300. It seems investors are now realising the value created by the current management, and the value that the current management may continue to create in future," he said. Positive movement Batu's positive move comes as a respite following months of terrible slumps due to loss of investor confidence in the company's stocks. The change also ended weeks of idleness at the company's equity counter, drawing an exchange of 15,440 shares at its counter on the Kampala based Exchange. Meanwhile, Uganda Clays became yesterday's biggest gainer, recording a high price of Shs3,700 and low of Shs3,475. Over 1,000 shares were traded at its counter New Vision recorded a turnover of Shs19.5 million as 42,027 shares were traded with a low of Shs465 and a high of high of Shs470 on Tuesday. Stanic yesterday posted over 4.5 million shares at Shs145 and a high of Shs150, at its counter. Mr Mushangwe attributed the current price surges to investor optimism about the national economy. Enditem