NGX delists three companies over poor standards

The Nigerian Exchange (NGX) has delisted three companies-Niger Insurance Plc, Resort Savings and Loans Plc and RAK Unity Petroleum, for failure to meet the required standards expected of publicly quoted companies.

In a circular over the weekend, NGX stated that it delisted the companies “on the grounds that they are operating below the listing standards of Nigerian Exchange Limited (NGX) and their securities are no longer considered suitable for continued listing and trading in the market.”

According to the NGX, the delisting was in furtherance of the provisions of Clause 15 of the General Undertaking, Appendix iii Of the Rule Book of The Exchange, 2015, Part II, Issuers’ Rules Delisting Process.

The rule recognises “that Council reserves the right to remove the name of a company from the Official List of the Exchange at its absolute discretion and may, if it considers there is insufficient public interest in the company, viz, insufficient shares in the hands of the public; or any of the foregoing terms and conditions are not complied with; or the company becomes a subsidiary of any other company.”