BUA cement on Tuesday gained nearly 10 per cent on the stock market following the company’s announcement of a 30 per cent price cut in a 50kg bag.
According to data from Financial Times, BUA stock, which closed at N85.75 per share on Monday, moved to N94 at the close of work on Tuesday.
Its lowest trade was N92 per share, and its highest stood at N94 on Tuesday.
The development comes barely 48 hours after the company announced a price cut.
Kemi Filani News reports that the market responded positively to BUA cement price reduction, which took effect on October 2.
The development attracted mixed reactions among stakeholders; while some believe it is laudable, others think otherwise.
Wunmi Iledare, a professor emeritus of Petroleum economics, BUA’s price reduction move might have erupted in a new price war among cement manufacturers in Nigeria.