African Alliance Insurance Plc has announced that its Board of Directors’ meeting will be held at 54, Awolowo Road, Ikoyi, Lagos on Wednesday, May 20, 2020 at 11am, to take decisions on the company’s audited financial statements for the period that ended December 31, 2019.
The company also informed the Nigerian Stock Exchange that it would observe its closed period starting from May 4, 2020 until 24 hours after the 2019 AFS and 2020 Q1 UFS of the company are released to the public.
In a notification issued by the company, it was disclosed that the announcement is in line with Rule 17.18 of Part 2 (Issuer’s Rules) of the NSE’s Rule Book (2015) which states that:
“The period of closure shall be effective from fifteen (15) days prior to the date of any meeting of the Board of Directors proposed to be held to consider any of the matters referred to above or the date of circulation of agenda papers pertaining to any of the matters referred to above, whichever is earlier, up to twenty-four hours after the price-sensitive information is submitted to the Exchange.
“The trading window shall thereafter be opened. Every issuer shall notify the Exchange in advance of the commencement of each closed period.”
Why this matters: The closed period will allow the company’s board to consider the FY 2019 audited financial statement. Other company issues will also be discussed during the meeting.
What is a closed period? A closed period is a period before the release of a company’s result or financial statement when those with sensitive information are not allowed to trade on the stock. These individuals may include company directors, audit committee members, persons discharging managerial responsibility, employees, and consultants with sensitive information.