The Nigerian Stock Exchange, NSE, says it has lifted the suspension placed on the shares of Standard Alliance Insurance Plc back in July 2018.
According to a statement signed by the Head of NSE’s Listings Regulation Department, Mr Godstime Iwenekhai, the suspension was lifted after Standard Alliance finally submitted its 2017 full-year financial result; the reason why it was suspended in the first place.
“In view of the submission of its accounts and pursuant to Rule 3.3 of the Default Filing Rules, the general public is hereby notified that the suspension placed in the trading of the Company’s shares has been lifted effective today, Wednesday, 29 August.” -NSE
Why lifting the suspension is important
The suspension placed on the company’s shares meant that no trading activities occurred between July 5th and August 28th.
While the suspension was primarily an unfortunate development for the Standard Alliance Insurance Plc and its shareholders, it also affected the investing public in that they were unable to buy and sell that company’s shares within the period the suspension lasted.
It is, therefore, a positive development that the suspension has been lifted because trading activities will resume once again; much to the relief of all parties involved. This is despite the fact that at 0.38 kobo, the share price is nothing to write home about.
As we reported, Standard Alliance Insurance Plc was suspended alongside 7 other companies; including African Alliance Insurance Plc, Cornerstone Insurance Plc, R. T. Briscoe Plc, Royal Exchange Plc, STACO Insurance Plc, Universal Insurance Company Plc and Veritas Kapital Assurance Plc.
The company’s suspension from trading activities was due to failure to adhere to rules regarding the timely submission of its financial account.
Last week, the company’s 2017 financial report was finally released; thereby prompting the withdrawal of suspension.
The result shows a relatively positive performance. Gross Premium written increased from N4.3 billion in 2016 to N4.8 billion in 2017. Similarly, the company made a profit after tax of N58.5 million in 2017 as against N1.3 billion loss recorded in the comparative period of 2016.
Standard Alliance Insurance Plc was incorporated in 1981 and quoted on the NSE in 2003.
