Skye Bank drops 43% value in 11 days as investors dump shares

Skye Bank stocks dropped by 43 per cent to N0.60, the lowest in three months as investors continued to sell-off after the Central Bank of Nigeria (CBN) replaced its board and management.

The lender stock which was selling at N1.05 on Monday, July 4, 2016 when the CBN announced the new management for the bank, closed at N0.60 on Friday, July 15, 2016, leaving it with capital depreciation of 43 per cent in a space of 11 day.

The stock which has been on offer since the CBN replaced its board even had its 61.305 million shares dropped by investors on Friday they were only able to make N34.532 million

The bank was s the eighth biggest lender by assets on the Exchange has lost more than half of its share value since the CBN changed its top management 11 days ago.

The bank continued on a losing strip on Friday, with 1.64 percent of its share value to close trading at 60 kobo per share.

It would be recalled that the former Chief Executive Officer of the bank, Timothy Oguntayo, resigned on July 4 in anticipation of the CBN’s decision, with a new management taking charge immediately.

The CBN subsequently approved the appointment of Alhaji M.K Ahmad as the new Chairman of the Board, while Mr. Tokunbo Abiru  was appointed as the new Group Managing Director and CEO.

The new leadership of the bank visited the Nigerian Stock Exchange (NSE) at the beginning of their tenure to seek cooperation and fair trade at such turbulent time in the bank’s history.

The bank has repeatedly urged shareholders to keep calm, promising that deposits with the bank remain safe.