NSE desists N878.3 million of African Paints, Afrik Pharmaceuticals from official list

 

The Nigerian Stock Exchange (NSE), has said its National Council has approved with effect from April 5, 2018, the delisting of N878.332 million shares of African Paints (Nigeria) Plc and Afrik Pharmaceuticals Plc from the daily official list.

African Paints Plc Total shares value available for trading on the bourse at the end of delisted day was N865.883 million while Afrik Pharmaceuticals Plc shares was N12.449 milllion.

The decision, the exchange said in a notice to stockbrokers, was based on Rule 13.25(b) and Clause 15 of the General Undertaking, Appendix III of the Rule Book (of) the Nigerian Stock Exchange 2015, by Part II, Issuers’ Rules.

The NSE said ahead of the decision, its management engaged both “companies with a view of returning them to compliance level,” but that these efforts did not yield results.

This, the statement continued, was followed by delisting notice dated October 13, 2016 which did not prompt African Paints and Afrik Pharmaceuticals to take appropriate steps to regularize their listing status.

Thereafter, the NSE said both companies were notified of the intention to delist them from the daily official list for non-compliance with provisions of the Post Listing Rules on April 11, and via two newspaper publications on April 20, 2017.

“The Exchange in the publication granted an additional three months to the listed companies above (to) cure their compliance deficiencies,” which they still failed to utilize.

These, notwithstanding, the NSE said it continued to engage the companies but that they did not take to the requisite steps to become compliant and that having exhausted all options available, it “has proceeded with the delisting of these entities from the daily official list.”

The affected issuers, he stressed, have been duly notified of these enforcement actions and that the notification is to put the general public, particularly their shareholders and investors in the Nigerian capital market on notice.

According to the NSE’s daily official list, Afrik Pharmaceuticals was last traded on September 16, 2015 when 1,000 units changed hands at 50 kobo each; while last ex-div date for a five kobo dividend was June 11, 2003, which was paid on July 3, 2003. Last ex-scrip date was September 10, 2001, just as it has nil Earnings Per Share.

It was listed on the NSE on September 4, 1979 as manufacturer and distributor of pharmaceutical products.

Listed on July 30, 1996, African Paints with current price of N2.35 per share was last traded on May 26, 2017, when 500,000 units were crossed.