A recent development at Zenith Bank Plc is that two directors invested a substantial amount of money in the bank’s shares in December, working with the Zenith Staff Provident Fund.
This calculated action by the bank’s leadership has sparked a lot of attention and questions regarding the repercussions and reasons for making such a large investment.
Now, the intriguing issue remains: How much did directors invest to acquire shares in Zenith Bank, and what does this signify for the bank’s future course?
I’m writing this post to provide the names of the players in the ground-breaking investment made by two directors as well as the implications and reasons the bank’s leadership felt compelled to make such a large investment.
How Much Did Directors Invest to Buy Zenith Bank Shares?
Directors and Zenith Employees Offered Purchased Funds
Over three days, the Zenith Staff Provident Fund, acting on behalf of the bank’s employees, strategically purchased almost 16 million Zenith Bank shares through a variety of transactions.
The total investment value of these shares, which ranged from N36.25 to N35.36 per unit, was approximately N606.04 million.
The staff fund’s coordinated effort gives the transaction more significance overall and demonstrates their trust in the bank’s potential.
Strategic Acquisition of the Executive Director
In addition to the noteworthy deals, Zenith firm Executive Director Dr. Temitope Fasoranti showed his faith in the firm’s success by purchasing more than 1.7 million shares of the bank in several tranches.
On December 4 and 5, Fasoranti made purchases totaling approximately N61.05 million.
His approach to increasing his position in the bank was calculated and strategic, as seen by the variety of prices at which these acquisitions were made.
As of June 2023, Fasoranti, who became Executive Director on December 29, 2017, had 13,075,000 units directly under his control. His dedication to and confidence in the bank’s sustained success are further reinforced by this most recent purchase.
Henry Oroh’s Notable Increase in Shares
A director at Zenith Bank named Henry Oroh is another important figure in this deliberate action.
At an average price of N35.94, Oroh purchased a significant 4,849,576 units of the bank’s shares in five portions.
Oroh is optimistic about the bank’s future performance, as seen by this transaction, which is worth around N174.29 million.
In line with the half-year report, Oroh held 9,964,127 shares of Zenith Bank directly.
He has considerably increased his ownership in the bank with this most recent transaction, showing that he is confident in Zenith Bank’s future success.
Oroh became an executive director on August 1, 2019, and his ongoing involvement shows how dedicated he is to the bank’s prosperity.
In Summary
Finally, concerns over what is driving such large investments are raised by the recent rise in directors’ and the Zenith Staff Provident Fund’s share purchases.
The strategic and purposeful method taken in these purchases, as well as the substantial increase in individual stakes, point to a shared sense of confidence over Zenith Bank’s future.
A question that remains as investors and market watchers closely monitor these developments is How much directors invested to acquire shares in Zenith Bank, and what this signifies for the bank’s future  outlook.
The full effect of these investments on the bank’s future course will only become apparent with time.
