NSE suspends trading on Cornerstone Insurance, Royal Insurance 6 other companies’ shares

 

For failing to file their accounts and results to the Nigerian Stock Exchange (NSE), the shares of Cornerstone Insurance, Royal Exchange Insurance Plc, African Alliance Insurance Plc and five others have been suspended from trading on the bourse.
The other five are: STACO Insurance Plc, Standard Alliance Insurance Plc, Universal Insurance Company Plc, Veritas Kapital Assurance Plc and R. T. Briscoe Plc.
The exchange over the weekend stated that a full suspension was placed on the companies on July 5, 2018 and notification has been sent to the Securities and Exchange Commission (SEC) and the market within for implementation.
According to NSE, “Dealing members are hereby notified that pursuant to Rule 3.1, Rules for Filing of Accounts and Treatment of Default Filing, Rulebook of The Exchange (Issuers’ Rules) (“Default Filing Rules”), which provides 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 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 (SEC) and the Market within 24 hours of the suspension”, trading in the shares of the companies.”
The exchange added that “there will be no trading of these stocks and their share price will be frozen.”
It exchange further added that “In accordance with the rules set forth above, the suspension of the above-listed companies will only be lifted upon the submission of the relevant accounts and provided the exchange is satisfied that the accounts comply with all applicable rules of the exchange.”
Meanwhile, Cornerstone Insurance in a statement to NSE management, said that said the continued delay in filing and publication of its Audited Financial Statements for the year ended 31st December, 2017 was occasioned by the Audited Financial Statements currently undergoing review by the National Insurance Commission (NAICOM) and will be filed immediately the company obtains the approval of NAICOM.
It apologises for this delay and assures its shareholders and all stakeholders of its immediately publish its accounts upon receipt of approval from NAICOM.