By Dipo Olowookere
The Nigerian Stock Exchange (NSE) has announced the suspension of trading in the shares of eight firms listed on its platform.
A notice to dealing members explained that the action was in “pursuant to Rule 3.1, Rules for Filing of Accounts and Treatment of Default Filing, Rulebook of The Exchange (Issuers’ Rules) (“Default Filing Rules”).”
The suspension, Business Post gathered, took effect from today, Thursday, July 5, 2018.
The suspended companies are African Alliance Insurance Plc, Cornerstone Insurance Plc, R. T. Briscoe Plc, Royal Exchange Plc, STACO Insurance Plc, Standard Alliance Insurance Plc, Universal Insurance Company Plc and Veritas Kapital Assurance Plc.
Business Post reports further that the rule empowering the NSE to suspend the eight companies states that, “If an Issuer fails to file the relevant accounts by the expiration of the Cure Period, The Exchange will:
“(a) Send to the Issuer a “Second Filing Deficiency Notification” within two (2) business days after the end of the Cure Period
“(b) Suspend trading in the Issuer’s securities
“(c) Notify the Securities and Exchange Commission (SEC) and the Market within twenty- four (24) hours of the suspension.”
Adedapo Adesanya