Amid allegations that Sterling Bank hoarded new Naira notes which dragged the Bank’s reputation into negative light among its customers, investors are dumping its shares in the stock market
Sterling Bank suffering investor apathy has caused shareholders of the company to lose 7.36 per cent of their investment in the firm led by Abubakar Suleiman.
This indicates shareholders with investment in Sterling Bank lost N3.45 billion to the disinterest in the firm among investors in the stock market, according to equity market analysis.
Sterling Bank was embroiled in allegations of hoarding the new Naira notes last week, allegedly making it difficult for Nigerians to withdraw over the counter in its banking hall or their Auto Teller Machines (ATM).
The 7.36 per cent decline also depreciated Sterling Bank’s total market valuation to N43.47 billion, from N46.92 billion between February 3 and 10, 2023.
Recall that last week, a video had been circulated in which a Deputy Director of the CBN, Oluwole Owoeye, revealed that N6 million was found hoarded in the Sterling Bank branch located in Ado-Ekiti.
It was alleged that the bank didn’t make the funds in its possession available to Nigerians, as the company’s ATMs in the branch were empty despite CBN instructing that the ATMs should always be loaded to make disbursement of the new N200, N500 and N1,000 notes easy.
The bank, however, had responded in a statement, that its ATM machines were being configured at the time for the new notes.
Two days after the revelation by CBN’s director, the anti-corruption agency, Independent Corrupt Practices and Other Related Crimes Commission (ICPC), also disclosed that N258 million was discovered in the bank’s vault in Abuja Central Business District (CBD) Complex.