Controversy trails resumption, re-suspension of trading on Oando shares

Shareholders and market watchers were yesterday thrown into a state of confusion as trading on Oando shares which had resumed the same day was stopped abruptly.

The Security and Exchange Commission (SEC) had on Tuesday communicated the Nigerian Stock Exchange that it could lift the technical suspension on trading of Oando shares on the floor of the exchange.

As directed, trading into the company’s shares began Wednesday morning to the excitement of the traders. Its share price even rose to a N6.30, a 5.8% increase in less than three hours of trading, before it was suspended.

But as trading progressed, another order came, reversing the lifting of the technical suspension.

According to some stockbrokers who spoke with Daily Trust, the CEO of the NSE, Oscar Onyeama had promised to address the brokers in a bid to provide more clarity on the directives and eventually shifted same to today.

A management source at SEC also claimed ignorance of the source of the directive. “Where did the order come from? We are not aware”, the source said.

As at the time of filing this report, no official statement emanated from the SEC or the NSE on the new directive.

Mr Johnson Chukwu, the Managing Director of Cowry Asset Limited and Mr Bismark Rewani have both argued that the lifting of the technical suspension is long overdue.