If a company fails to meet the listing standards specified by the stock exchange, the company runs the risk of being delisted. Delisting is the removal of a listed security from a stock exchange and it can be voluntary or involuntary.
Involuntary delisting is a situation where a company is forced to remove its shares from a stock exchange without its consent. This is usually a regulatory decision. In the instance of Nigerian Exchange Limited (NGX), delisting is the ultimate sanction that can be imposed on an Issuer.
This happens to companies due to their persistent non-compliance with the Listings Rules of The Exchange, or for failing to meet the financial requirements of listing on The Exchange.
Currently, there are about eleven (11) companies on the NGX that their delisting is in process.
Capital Oil Plc
The NGX RegCo Board at its meeting of June 28, 2024, following the presentation of the Regulation and New Business Committee (RNBC)’s report of its meeting held on May 6 approved the commencement of the delisting process of Capital Oil Plc.
The Tourist Company of Nigeria Plc
NGX approved for NGX RegCo to proceed with the regulatory delisting process.
Austin Laz and Company Plc
NGX RegCo Board at its meeting of September 29 following the presentation of the Regulation and New Business Committee (RNBC)’s report of its meeting held on August 31, 2023, approved the commencement of the delisting process of Austin Laz and Company Plc.
According to the rules for delisting equity securities from the Daily Official List of The Exchange, an Issuer that persistently violates the Rules of The Exchange or is unable to meet its obligations or commits an infraction that attracts a penalty of de-listing shall be notified of an impending enforcement action by The Exchange. Upon determination by The Exchange that the Issuer has failed to regularise its position, The Exchange will serve the affected Issuer with the notice of de-listing.
Medview Airline Plc
NGX RegCo Board at its meeting of June 28, following the presentation of the Regulation and New Business Committee (RNBC)’s report of its meeting held on May 6 approved the commencement of the delisting process of Medview Airline Plc.
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Union Homes Savings & Loans Plc
NGX approved for NGX RegCo to proceed with the regulatory delisting process.
Goldlink Insurance Plc
This is another company that its delisting is in process. The NGX RegCo Board at its meeting of June 28, 2024, following the presentation of the Regulation and New Business Committee (RNBC)’s report of its meeting held on May 6 approved the commencement of the delisting process of Goldlink Insurance Plc.
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Other companies listed on the X-Compliance report, a transparency initiative of NGX Regulation Limited (NGX RegCo) include:
ASO Savings and Loans Plc
NGX RegCo Board at its meeting of June 28, following the presentation of the Regulation and New Business Committee (RNBC)’s report of its meeting held on May 6 approved the continuation of the delisting process of ASO Savings Plc.
STACO Insurance Plc
NGX RegCo Board at its meeting of June 28, following the presentation of the Regulation and New Business Committee (RNBC)’s report of its meeting held on May 6 approved the commencement of the delisting process of STACO Insurance Plc.
Standard Alliance Insurance Plc
NGX RegCo Board at its meeting of June 28 following the presentation of the Regulation and New Business Committee (RNBC)’s report of its meeting held on May 6 approved the commencement of the delisting process of Standard Alliance Insurance Plc.
Greif Nigeria Plc
NGX RegCo Board at its meeting of June 28 following the presentation of the Regulation and New Business Committee (RNBC)’s report of its meeting held on May 6 approved the commencement of the delisting process of Greif Nigeria Plc.
Union Dicon Salt Plc
NGX RegCo Board at its meeting of June 28, following the presentation of the Regulation and New Business Committee (RNBC)’s report of its meeting held on May 6 approved the commencement of the delisting process of Union Dicon Salts Plc.
