Surge in NOW shares perks up market; PSEi up

Velarde group-led NOW Corp. sizzled at the lackluster stock market on Monday on the back of a fourth telco play following the government’s extension of its provisional authority to build a nationwide mobile telecom system.

NOW shares surged by 49.79 percent to close at P3.58 on Monday, outperforming the main-share Philippine Stock Exchange index (PSEi), which added a marginal 0.42 points or 0.007 percent to close at 5,909.32.

Domestic hands kept the market marginally higher while foreign investors were still net sellers to the tune of P551.85 million.

NOW was the day’s most actively traded company after disclosing on Monday that the National Telecommunications Commission had approved the extension of its provisional authority to install, operate and maintain a nationwide mobile telecommunications system.

Another actively traded non-PSEi stock was construction firm Megawide, whose consortium bagged one segment of the Malolos-Clark railway project. News that the government is willing to relax the terms of Ninoy Aquino International Airport modernization project also boosted Megawide’s shares, given that it now holds the original proponent status for this project, which will be undertaken through a public-private-partnership framework.

The PSEi was shored up by the property counter, which added 0.69 percent.

The financial, industrial, holding firm, services and mining/oil counters all ended lower.

Value turnover for the day amounted to P4.27 billion.

There were 138 decliners that overwhelmed 58 advancers, while 42 stocks were unchanged. —DORIS DUMLAO-ABADILLA INQ