The NGX Group’s regulatory arm, NGX Regulation has suspended trading in eight firms’ shares due to a failure to file their appropriate accounts for 2023.
This was disclosed in a market bulletin on Monday, by NGX.
The Head of the Issuer Regulation Department, Godstime Iwenekhai stated that the suspension takes immediate effect.
According to the market report, the affected companies are Unity Bank, C&I Leasing Plc, Guinea Insurance, Lasaco Assurance, Mutual Benefits Assurance, NPF Microfinance Bank, Regency Alliance Insurance, and Secure Electronic Technology Plc.
Iwenekhai said, “Trading in the shares of the eight companies below have been suspended from the facilities of Nigerian Exchange Limited (NGX or The Exchange) effective today, Monday, 8 July 2024 for not filing their Audited Financial Statements for the year ended 31 December 2023.”
The listed companies on the Exchange are required to submit their accounts and other documents within specified time frame.
NGX RegCo stated that it followed Rule 3.1 about the Filing of Accounts and Treatment of Default Filing (Default Filling Rules), which stated, “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 business days after the end of the Cure Period.
“b) Suspend trading in the issuer’s securities, and c) Notify the Securities and Exchange Commission and the Market within 24 hours of the suspension.”
The ruling states that once the concerned companies comply with the guidelines, the suspension on trading in their shares would be lifted.
Insurance firms faced delays in filing their 2023 annual reports as a result of the adoption of IFRS 17 requirements.
IFRS 17 requires a corporation to recognise profits as it provides insurance services (rather than when it collects premiums) and to provide information regarding future insurance contract profits.
