The Nigerian Exchange Limited (NGX) has suspended trading in the shares of eight companies for failing to file their Audited Financial Statements for the year ended December 31, 2023.
The suspension, effective from July 8, 2024, affects Guinea Insurance Plc, Lasaco Assurance Plc, Mutual Benefits Assurance Plc, C & I Leasing Plc, NPF Microfinance Bank Plc, Regency Alliance Insurance Plc, Secure Electronic Technology Plc, and Unity Bank Plc.
This action follows Rule 3.1 of the Default Filing Rules, which mandates suspension if companies do not file their accounts within the specified Cure Period.
Trading will resume only when the companies submit the required financial statements.
Market operators have welcomed this enforcement, believing it will enhance transparency and investor confidence.
They assert that timely financial reporting is crucial for informed investment decisions and maintaining good corporate governance.
Market experts like Mr. Mike Eze of Crane Securities Limited and Sir Sunny Nwosu of the Independent Shareholders Association of Nigeria (ISAN) emphasized the importance of adherence to reporting standards for investor confidence and accurate pricing of securities.
Boniface Okezie, President of the Progressive Shareholders Association, echoed these sentiments, stating that compliance with listing rules ensures better market regulation and strengthens investor trust.
(This Day)