UACN Continues Strong Market Rally as Shares Approach N100

UAC of Nigeria Plc (UACN) recorded a significant 22.69 percent rise in the first trading week of December, extending its quarter-to-date rally past 44 percent and pushing its share price above N96.

This strong performance follows an impressive November, when the stock climbed by more than 18 percent after months of price declines. Investors have responded positively to developments around the company’s acquisition of CHI Limited from Coca-Cola. UACN previously placed N19.2 billion in escrow as part of the transaction, which is being executed through its special-purpose subsidiary, UAC Food and Beverage Company Limited.

The acquisition is being financed through a combination of the company’s reserves, a short-term dollar bridge loan, a fully underwritten seven-year naira facility, and a large bond programme approved to support long-term refinancing. Management said the timing of the deal was influenced by favourable market valuations and reduced competition.

The transaction immediately positions UACN in new high-growth segments, including drinking yoghurt, evaporated milk, and fruit beverages, integrating popular CHI brands such as Chivita, Hollandia, Capri-Sun, and SuperBite into its portfolio. Although acquisition costs affected the company’s third-quarter numbers, investor sentiment remains upbeat.

UACN shares began the year at N32.95 and have risen steadily through various market phases, breaking several resistance levels. After pulling back between August and October, the stock regained momentum in November and early December, reaching N96.80 and moving closer to the N100 milestone.