Seplat Energy’s stock has surged by over 30 per cent in late September and the first week of October, driven by a combination of strategic decisions and robust financial performance.
After a stagnation during July and August, the company gained renewed market momentum, triggered by insider acquisitions and positive developments in the Nigerian oil and gas sector.
On September 27, 2024, Seplat disclosed that Tierce Investments Ltd., a firm wholly owned by former Minister of Budget and National Planning, Udo Udoma, had acquired 22,571 shares in the company.
This revelation marked a turning point in investor sentiment, with analysts noting the symbolic weight of Udoma’s involvement.
“This insider move signals deep confidence in the company’s future,” said energy analyst Femi Awosika. “Investors view Udo Udoma’s acquisition as a positive indicator of Seplat’s leadership stability and strategic direction.”
Following the disclosure, Seplat’s stock remained stable before spiking sharply on October 3 and 4, with trading volumes skyrocketing to 818,000 shares, driving a 20 per cent surge in early October alone.
Analysts pointed to Seplat’s consistent long-term uptrend since 2023 as a key factor in sustaining investor confidence.
Seplat’s 2024 rally has been marked by a series of milestones, including its stock breaking through N3,000 in January on the back of over 2 million traded shares, and continued upward momentum in the months that followed.
After a brief stall in March and April, the company regained strength in May with volumes of 2.6 million shares, pushing the stock beyond N4,000 in late September, a crucial psychological barrier.