The Nigerian Stock Exchange (NSE) has lifted the ban placed on the shares of Universal Insurance Plc. This, according to the Exchange, is as a result of the company’s compliance with rules for the filing of accounts and treatment of default filing and the rulebook of The Exchange (issuers’ rules).
In a statement made available by the NSE to the investing public, the Nigerian bourse stated that Universal Insurance had filed its outstanding financial statements.
“In view of the Company’s submission of its Audited Financial Statements, and pursuant to Rule 3.3 of the Default Filing Rules, which provides that: ‘The suspension of trading in the Issuer’s securities shall be lifted upon submission of the relevant accounts provided The Exchange is satisfied that the accounts comply with all applicable rules of The Exchange. The Exchange shall thereafter also announce through the medium by which the public and the SEC was initially notified of the suspension’, Dealing members are hereby notified that the suspension placed on trading on the shares of Universal Insurance Plc was lifted today, Wednesday, 7 August 2019.”
The back story: Universal Insurance Plc was banned on July 2, 2019, for failure to release its audited financial statements for the year ended December 31, 2018, on time.
Universal Insurance Plc was sanctioned alongside Conoil, FTN Cocoa Processors, Goldlink Insurance, LASACO Assurance, Niger Insurance, R.T. Briscoe, Resort Savings & Loans, Royal Exchange, and Standard Alliance Insurance.
They collectively failed to adhere to Rule 3, 1, Rules for Filing of Accounts and treatment of default filing and Rulebook of The Exchange.
The rule states that if an Issuer fails to file the relevant accounts by the expiration of the Cure Period, The Exchange will:
- send to the Issuer a “Second Filing Deficiency Notification” within two business days after the end of the Cure Period;
- suspend trading in the Issuer’s securities; and
- notify the Securities and Exchange Commission (SEC) and the Market within twenty- four (24) hours of the suspension.