By Peter OBIORA InvestAdvocate

Lagos (INVESTADVOCATE)-Afrinvest Securities Limited said Monday it will commence trading on the shares of Industrial and General Insurance Plc (IGI), Geo-Fluids and four (4) other unlisted companies through the National Association of Securities Dealers Plc (NASD) Over-the-Counter (OTC) trading platform.

Afrinvest said in a notice made available to InvestAdvocate that it has been registered by NASD as a Broker/Dealer for companies registered by SEC and admitted by NASD.

The firm said with over 15 years membership of the Nigerian Stock Exchange (NSE), it’s positioned to support understanding of the workings and intricacies of the NASD-OTC trading platform. “We are able to execute your trades under the platform to your satisfaction,” Afrinvest said.

The other companies Afrinvest will be trading their shares on the NASD OTC are Food Concepts Plc, Consolidated Breweries Plc, Niger  Delta Exploration and Production Plc and Friesland Campina Wamco Plc.

Prior to this time, investors have sought to know when companies like IGI, Geo-Fluids and others not quoted on the floor of the NSE would lists their shares so that they can sell and make returns on their investments.

In 2006, the board of directors of IGI sought to recapitalize the company by increasing shareholders fund to N10 billion

To do this, the company offered N725 million by way of Rights Issue and a Placement which targeted funds in excess of N5.8 billion from members of the Nigerian investing public.

Investors who participated in the  placement has since been worried that the board and management of the underwriting firm are keeping them in the dark on the activities and operations of the company and are yet to lists on the Nigerian Bourse.

Geo-Fluids on its part sought to raise about N12 billion by way of Placement as it offered 2.4 billion ordinary shares of 50 Kobo each at N5.00 per share.

Also, the investing public who participated in the placement are worried that the company has not been able to lists its shares as promised in its prospectus.

NASD Limited was formed in 1998 to promote and operate an OTC market open to all interested registered securities dealers in Nigeria.

In year 2012, NASD secured approval from the Securities and Exchange Commission (SEC) to operate an OTC in Nigeria, which investors in unlisted companies can trade their securities.

The NASD OTC market is a technologically-driven trading platform where equities (shares) of companies that are not listed on The Nigerian Stock Exchange can be traded. The activities of NASD OTC are open to unlisted companies and investors who intend to buy and sell shares of these companies.