Tuesday, 05 October 2010 By Helen Oji

THE Nigerian Stock Exchange (NSE), yesterday, placed 13 quoted companies on indefinite technical suspension for their failure to submit their full year report for year 2009 operations.

These were among the 28 companies earlier placed on the watch list of the NSE, together with others that were also sanctioned for various breaches ranging from post listing requirements last month.

The affected companies include Daar Communications Plc, owners of AIT and Ray Power, Big Treat Plc, Vono Products Plc, Mtech Plc, Afroil Plc, Union Diagnostic and Clinical Services Plc, Leonards Plc, Alumaco Aluminium Plc, Tourist Company Plc, MTI Plc, Pharma-Deko Plc, SCOA Plc, and Nigerian Sewing Machine Plc.

A statement by the NSE, said: “We have today placed the affected companies on technical suspension, for failure to submit their audited accounts for the year 2009.”
By the technical suspension, the shares of the affected companies would be traded, but no price movement, gain or loss would be reflected on them.

It can be recalled that the NSE had sanctioned various listed companies for varying breaches bothering on failure to meet post listing requirement, placing 28 listed others on its watch list last month, for failure to render their arrears of audited and interim accounts.

The exchange had threatened to commence formal de-listment process on the companies, at the expiration of deadline, which expired yesterday.

NSE said its council took the action in pursuant of investor-confidence building effort, which has been significantly eroded by various infractions perpetrated by operators and managements of listed companies.

It said the affected companies have defaulted in post-listing requirements, especially in financial reporting of their operations and payment of yearly listing fees.

Source: Guardian