NSE Pronounces Onado Plc Shares On Technical Suspension

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Nigerian Stock Exchange

The Nigeria Bourse (”The Exchange”) pronounces its technical suspension of shares of  Onado plc. This was announced yesterday via the stock exchange public notification which was official signed into effect by Ms.Tinuade Awe, The Head of Regulation/General counsel, NSE. It says it has partially lifted the suspension placed on shares belonging to Oando Plc.

Following the  market bulletins “Dealing members are referred to our market bulletins of Wednesday, October 18, 2017 (NSE/LARD/LRD/MB05/17/10/18) notifying them that effective  Friday, October 20, 2017 and until further directive, the shares of Oando Plc (“Oando” or “the company”) will be placed on technical suspension; and that of Friday, October 20, 2017 (NSE/LARD/LRD/MB07/17/10/20) informing them that the shares of Oando were still on full suspension as the process of converting from full to technical suspension was yet to be completed” the notification states.

 

The regulator had suspended the company’s shares on Wednesday following a request from the Securities Exchange Commission (SEC). Oando Plc, who enjoys dual listings in Johannesburg and Toronto, has been entangled in crisis in recent time.On Thursday 19th October 2017, the Johannesburg Stock Exchange also placed a ban on Oando on request of SEC.

On its part, SEC said it made the following findings at the end of its investigation of the company: breach of the provisions of the Investments & Securities Act 2007, breach of the SEC Code of Corporate Governance for Public Companies, suspected insider dealing, related party transactions not conducted at arm’s length, and discrepancies in the shareholding structure of Oando Plc.