Caverton Offshore Support Group Plc rebounded by 9.84% on the Nigerian Exchange (NGX) on Wednesday after a prolonged selloff had wiped more than 36% off the company’s share price.
The stock gained N0.30 to close at N3.35 on November 4, up from N3.05 in the previous trading session, making it the second-best-performing equity on the NGX during the day.
The rebound interrupted a steep decline that had pushed Caverton from N4.80 in the week ended October 30 to N3.05 by November 3.
Caverton initially fell 25% from N4.80 to N3.60 during the week ended October 30, making it the worst-performing stock on the NGX that week.
The decline continued into the new week, with the stock falling to N3.30 before shedding another 7.58% to N3.05 on November 3.
At N3.05, Caverton had lost N1.75 per share, representing a 36.5% decline from N4.80.
Wednesday’s 9.84% rebound recovered N0.30 of that decline, but the stock remained substantially below its earlier level.
At its latest closing price of N3.35, Caverton is still N1.45, or approximately 30.2%, below the N4.80 level recorded before the selloff accelerated.
The recovery came during a positive session for the broader equities market, with the NGX All-Share Index gaining 0.19% to 254,762.81.
Transcorp Power led Wednesday’s gainers with a 9.97% increase to N203, followed by Caverton at 9.84% and eTranzact International at 9.68%.
The latest movement suggests the sharp sequence of losses was interrupted on Wednesday, but the 9.84% gain recovered only a fraction of the value erased during Caverton’s recent selloff.
