Insurance firms dominate list of defaulting firms on the NSE
April 13, 2021571 views0 comments
- Cornerstone, others fault regulators for delay
A total of 44 companies – dominated by insurance firms alongside other companies – listed on the Nigerian Stock Exchange, NSE may be penalized for not delivering their 2020 audited financial Statement as at due date 31st march 2021.
The affected firms represent a 28 percent of the quoted companies on NSE and span across insurance firms, banks, oil firm and others who failed to meet the 90 days’ timeline required by the rule of the NSE for the companies to file their audited full-year result.
In respect of financial accounts submission, the post listing rule of exchange stated: “An issuer shall announce the financial statements for the full financial year immediately after the figures are available but in any event not later than ninety days after the relevant financial period.”
Justifying the reason for delay in submission, Cornerstone Insurance Plc said it encounter a delay in completing the actuarial valuation audit review. It however assured that the audited account would be submitted upon the finalization and receipt of approval from the National Insurance Commission.
In a similar vein, NPF Microfinance Bank attributed its inability to meet up to non-receipt of approval of its audited account by the central bank of Nigeria. It noted that it is engaging the CBN to ensure that approval is secured for the financial statement to be reported publicly on or before 14th of April 2021.
Deap Capital Management and Trust also faulted it failure to meet up on the resignation of the entire board of directors on December 31st. it said that that the interim management appointed by the CBN is currently working with the corporate affairs commission to convene a general meeting where another board would be constituted for the company.
The defaulting insurance firms are; Africa Alliance Insurance Plc, Cornerstone Insurance Plc, Coronation Insurance, Goldlink Insurance, Guinea Insurance, Lassaco Assurance, Mutual Benefit Assurance, Niger Insurance, Universal Insurance Plc, Staco Insurance and Standard Alliance Insurance, International energy insurance Plc.
Other affected companies are; Briclink Africa, E-transact international Plc, Unity bank, Tantalizer Plc, Savings and loans Plc amongst others.