Listed com­pa­nies get grace on ac­count sub­mis­sion Kogi to com­mences sec­ond tranche of N20bn in June

Daily Trust - - CAPITAL MARKET - Sto­ries from Kay­ode Ogun­wale, La­gos

The Nige­rian Stock Ex­change (NSE) an­nounced it has given erring com­pa­nies on the ren­di­tion of ac­counts a grace of one month grace to com­ply or face sanc­tions.

The NSE, in a no­tice to the com­pa­nies, said it was con­cerned and mind­ful Kogi State Govern­ment said it will com­mence sec­ond tranche of N5 bil­lion in­fras­truc­tural de­vel­op­ment bond of N20 bil­lion by June 2014.

Gover­nor Capt. Idris Wada made this known dur­ing a visit to the Nige­rian Stock Ex­change (NSE) for a Kogi State bond list­ing fo­rum with the NSE and other pro­fes­sional par­ties to the trans­ac­tion.

Wada said the first tranche of the bond (N5 bil­lion) raised in the cap­i­tal mar­ket by the state for in­fras­truc­tural de­vel­op­ment has been com­pleted and utilised in ju­di­cious man­ner.

He stated that the sec­ond tranche of an­other of the chal­lenges be­ing en­coun­tered by these com­pa­nies in the ren­di­tion of their ac­counts.

It said: “This is to in­form you that the ex­change is con­cerned and mind­ful of the chal­lenges be­ing en­coun­tered by its listed com­pa­nies in the ren­di­tion of their au­dited N5 bil­lion would be is­sued by June 2014.

Ac­cord­ing to Wada, the bond is­suance has given the state an op­por­tu­nity for in­fras­truc­tural trans­for­ma­tion and will boost its In­ter­nal Gen­er­ated Rev­enue (IGR).

He ex­plained that the state govern­ment has em­barked on nu­mer­ous trans­for­ma­tion ac­tiv­i­ties be­cause of the rate at which the bond was sub­scribed.

“When I as­sumed of­fice, I found out that there is a fallen gap be­tween our fund and what we needed to do to trans­form the state and this in­formed the de­ci­sion to come to the mar­ket,” he said. fi­nan­cial state­ments. As a re­sult, the ex­change has gra­ciously granted all listed com­pa­nies one month grace pe­riod, af­ter their re­spec­tive fill­ing due dates to sub­mit their au­dited fi­nan­cial state­ments.”

The Nigeria’s ex­change, how­ever, in­formed all listed com­pa­nies to note that penal­ties for late ren­di­tion of the au­dited fi­nan­cial state­ments af­ter the grace pe­riod be­come ap­pli­ca­ble and en­force­able.

The NSE said de­fault fil­ing of in­terim ac­counts that is first quar­ter, sec­ond quar­ter and third quar­ter will at­tract the ap­pli­ca­ble penal­ties.

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