20 firms risk delisting from stock market
Twenty companies listed on the Nigerian Stock Exchange risk being delisted, our correspondent has learnt.
According to data obtained from the NSE, 26 companies were on suspension as of November 1, 2018 for failing to file their financial statements as and when due.
The bourse stated that 13 companies were suspended last year, out of which three later filed their financial statements and the suspension of trading in their shares was lifted.
The suspension of trading in the shares of Academy Press Plc, Austin Laz & Company Plc, Premier Paints Plc and Ekocorp Plc was lifted on November 6, 2018 while the suspension on FTN Cocoa Processors Plc was lifted last Friday.
Nigerian German Chemical Plc and Roads Nigeria Plc were suspended on October 4, 2017, while Great Nigeria Insurance Plc, Resort Savings & Loans Plc, Aso Savings & Loans Plc, Evans Medical Plc, Goldlink Insurance Plc, Omatek Ventures Plc, and Union Homes Savings & Loans Plc were all suspended on July 5, 2017.
Fortis Microfinance Bank Plc, Thomas Wyatt Nigeria Plc, Deap Capital Management & Trust Plc, Golden Guinea Breweries Plc, Trex Integrated Foods Plc, International Energy Insurance Plc, Unic Diversified Holdings Plc, DN Tyre & Rubber Plc, African Alliance Insurance Plc, STACO Insurance Plc, and Afromedia Plc were all suspended this year and had yet to file their financial statements as of the time of filing this report.
Skye Bank Plc was suspended following the revocation by the Central Bank of Nigeria of its operating licence.
The Quotations Committee of the National Council of the Exchange placed two companies ― Deap Capital Management Plc and Great Nigeria Insurance Plc ― under the regulatory watch list subject to the filing of their quarterly compliance reports.
The bourse said Evans Medical Plc had obtained the QCN approval and was currently undergoing restructuring, while DN Tyre & Rubber Plc was currently being delisted.
It added that Tourist Company of Nigeria Plc had concluded the first leg of the transaction and the management of the NSE had engaged the company on the next stage.
According to Rule 3.1, Rules for Filing of Accounts and Treatment of Default Filing, any member that breaches any of the NSE’s corporate governance rules shall be subject to but not limited to sanctions such as fines, suspension from trading, and delisting from the Exchange in incurable cases of default.
It said where an issuer was delisted for non-compliance with the listings rules of the Exchange, the issuer and its promoters would not be able to seek listing for a period of three years from the date of such delisting.