Investment in DSE declines by Sh4 trillion in 12 months
What you need to know:
- Shareholders investments at the Dar es Salaam Stock Exchange (DSE) shrunk by nearly Sh4 trillion during the period of one year ending January 16, 2019, which indicates that in each Sh100 invested in January 16, 2018, only Sh86 were available by January 2019.
Dar es Salaam. Investors at the Dar es Salaam Stock Exchange (DSE) have seen their investments shrinking by Sh3.9 trillion, nearly 20 per cent in the period of one year, ending January 16, this year.
The DSE market reports have shown that on average, in every Sh100 invested in the shares market, only Sh84 remained while Sh16 disappeared, due to the fall in share prices for both cross-listed and locally listed companies.
However, there are some locally listed companies, which did not experience the rise or fall in share prices during the period under review, including Mwalimu Commercial Bank (MCB), Mucoba, Maendeleo Bank Plc (MBP), DSE and Yetu Microfinance.
This reveals that investments in the five locally listed companies have remained flat over the period under review.
The report has shown that a major share drop was experienced by Tanga Cement Company Limited (TCCL), which fell to Sh640 on January 16, this year, from Sh1,200 recorded during a similar date last year, Tatepa from Sh600 to Sh120 and Uchumi Supermarket whose share price fell to Sh20 from Sh90.
Unlike the three other companies whose shares fell as a result of market forces, the decline in Tatepa share price resulted from share valuation as demanded by company’s shareholders.
The price depreciation was recorded by Acacia to Sh5,500 on January 16 from Sh5,910 that was recorded in January 16, 2017 during the reviewed period, while DCB and CRDB share prices fell to Sh340 and Sh140 in January 16, this year respectively from Sh380 and Sh175 on January 16, 2018.
Others are Kenya Airways whose share fell to Sh180 on Wednesday this week from Sh370 recorded on January 16 last year.
Vodacom Tanzania Plc, which was the last listing in 2018, saw its share price shrin to Sh800 from Sh850 recorded on January 16, last year.
TBL share price also went down to Sh12,600 from Sh14,000 while the share prices for Swissport declined to Sh2,340 from Sh3,760 respectively.
However, the share prices for TCC and TPCCL gained during the period to Sh17,000 and Sh2,060 on January 16, this year, and from Sh16,800 and Sh1,460 recorded on January 16, 2018 respectively.
