NSE grants firms, DMFs 60-day grace to file financial statements

The Nigerian Stock Exchange (NSE) has granted a 60-day grace period to companies for the submission of Audited Financial Statements (AFS) due March 30, following disruptions caused in the economy by the COVID-19 pandemic.

NSE Head, Listings Regulation Department, Mr. Godstime Iwenekhai, in a statement posted on the Exchange’s website yesterday, said there will be no sanctions for companies that were unable to file the AFS during this period.

He stated: “We refer to The Nigerian Stock Exchange (The Exchange) Circular of March 19, with reference number NSE/RD/LRD/ CIR4/20/03/19 wherein listed companies were advised on measures to put in place for the conduct of their Annual General Meetings (AGM) due to the Coronavirus outbreak.

“Further to the said Circular, The Exchange understands that some of the internal governance, auditing and other procedures and processes of listed companies may have been disrupted by COVID-19.

“Therefore, the Exchange is granting listed companies a 60day grace period for the submission of their AFS for the year ended Dec. 31 2019, which are due to The Exchange on March 30.

During this period, there will be no sanctions for companies that are unable to file the AFS,” he stated.

Meanwhile, the NSE also extended the submission of audited financial statement for the year ended Dec. 31, 2019 by Dealing Member Firms (DMFs) by 60 days.

A statement issued by the Head, Broker Dealer Regulation, Mr. Olufemi

Shobanjo, indicated that the Exchange had granted all the DMFs an additional 60-day grace period for the submission of their ADS for year ended Dec. 31, 2019.

Shobanjo said the decision was part of the measures taken at the Exchange to respond and reduce the business and economic impacts of the virus on the activities of

DMFs.

“The Exchange understands that some of the internal governance, auditing and other processes, including the engagement of external auditors to carry out the audit of DMFs, may have been disrupted due to COVID-19.

“Therefore, The Exchange is granting all DMFs an additional 60 days grace period for the submission of their AFS for the year ended Dec. 31 2019, which is due for submission to The Exchange on March 30.

“In order to reduce the challenges caused by the pandemic disease, the deadline for the submission of the AFS for all DMFs has now been extended to May 29”, he added.