Market Regulator Issues Update on Transcorp, LASACO, Nigerian Breweries

Stock market regulator, the Nigerian Exchange Ltd. (NGX) has suspended trading in the shares of Transnational Corporation Plc (Transcorp), effective Thursday.

The NGX, in its weekly report, said that the suspension was necessary to determine the shareholders entitled to receive the firm’s reconstructed shares.

The Exchange said that suspension was to prevent any trading activities while the company’s registrars and Central Securities Clearing System (CSCS) reconcile their records for the listing of the reconstructed shares.

According to the regulator, the suspension action follows a share capital reduction undertaken by Transcorp. In another development, the NGX also lifted the suspension placed on trading of the shares of Lasaco Assurance Plc on Wednesday.

The exchange referred to its market bulletin dated July 8, which notified trading license holders and the investing public about the suspension.

It added that the development was in line with Rule 3.1 of the Rules for Filing of Accounts and Treatment of Default Filing.

According to the NGX, the rule mandates a second notification to the issuer if they fail to file the relevant accounts by the end of the Cure Period.

The NGX also confirmed that Lasaco Assurance had submitted its Audited Financial Statements for the year ended Dec. 31, 2023, along with all outstanding financial documents.

The NGX said that, in view of the company’s submission of its 2023 AFS, and pursuant to Rule 3.3 of the Default Filing Rules, it was satisfied that the insurer’s accounts comply with all its applicable rules.

Also, the NGX announced that trading in the rights issue of Nigerian Breweries Plc had been extended for one week, to now close on Friday, Oct. 18.

The regulator said that the brewer obtained the approval of the Securities and Exchange Commission (SEC) for the extension.

The Exchange said: “We refer to our market bulletin of  Sept. 4, with reference number: NGXREG/IRD/MB58/24/09/04 wherein the market was notified that trading in Nigerian Breweries Plc’s Rights Issue of 22,607,491,232 ordinary shares of 50 Kobo each at N26.50 per share.

“On the basis of 11 new ordinary shares for every existing five ordinary shares held as at the close of business on July 12, 2024, opened on Monday, Sept. 2 2024.

“Consequently, trading in Nigerian Breweries’ Rights will now close on Oct. 18, 2024.” On listing, NGX announced that trading in the September 2024 Issue of the Federal Government of Nigeria (FGN) Bonds was listed on the NGX on Friday.

The regulator also stated that Flour Mills of Nigeria Plc’s N46 billion five – year 22 per cent Series two Fixed Rate Senior Unsecured Bond due 2029 under the N200 billion Flour Mills of Nigeria Plc Bond Issuance Programme were listed on the NGX on Tuesday.

On trading, the NGX All-Share Index and market capitalisation appreciated by 0.09 per cent each to close the week at 97,606.63 and N56.088 trillion, respectively. This is against 97,520.54 and N56.039 trillion, respectively, posted in the previous week.

Consequently, equity investors gained a total of N49 billion. Similarly, all other indices finished higher with the exception of NGX Main Board, NGX AFR Bank Value, NGX Consumer Goods, NGX Lotus II and NGX Industrial Goods which depreciated 0.28, 1.12, 1.25 , 0.16 and 0.13 per cent respectively.

However, the NGX ASeM and NGX Sovereign Bond indices closed flat. Meanwhile, a total turnover of 2.966 billion shares worth N31.508 billion in 42,482 deals was traded this week by investors, in contrast 2.872 billion shares valued at N132.811 billion that exchanged hands last week in 39,867 deals.

The Financial Services Industry measured by volume led the activity chart with 1.485 billion shares valued at N17.965 billion traded in 19,613 deals; thus contributing 50.05 and 57.02 per cent to the total equity turnover volume and value, respectively.

The Services Industry followed with 1.108 billion shares worth N775.258 million in 2,675 deals. Third place was the Agriculture Industry, with a turnover of 93.904 million shares worth N1.250 billion in 2,517 deals.

Trading in the top three equities namely, Tantalizer Plc, Coronation Insurance Plc and Fidelity Bank Plc measured by volume accounted for 1.625 billion shares worth N3.908 billion in 1,814 deals.

These contributed 54.80 and 12.40 per cent to the total equity turnover volume and value respectively. #Market Regulator Issues Update on Transcorp, LASACO, Nigerian Breweries

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