Multi-Trex updates shareholders on free float status

The Board of Directors and Management of Multi-Trex Integrated Foods has provided an update to shareholders and the investing public regarding the Company’s free float status on the Main Board of the Nigerian Exchange Limited (NGX).

Business recovery and shareholding structure…

The company said that since 2022, it has been focused on a comprehensive business recovery undertaking, following a seven (7) year cessation of operations.

“As part of our capital restoration strategy, Messrs N-Foods Universal Concept Limited injected the necessary capital to discharge the Company’s obligations to AMCON. This strategic intervention resulted in N-Foods Universal Concept Limited acquiring 70 percent of the Company’s issued share capital”, Multi-Trex Integrated Foods said.

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The free float position …

Multi-Trex Integrated Foods said that while this recapitalisation successfully stabilised the Company, it resulted in a contraction of the Company’s public free float.

“According to our 2024 Audited Financial Statements, our Company’s free float stood at 7.23 percent (with a value of N117,457,100.64). This is below the NGX Main Board requirement, which mandates a free float of either 20 percent of issued share capital or a market capitalisation of N20 billion,” the company noted.

NGX approval and extension period…

In view of the above, Multi-Trex Integrated Foods said it applied to the NGX for an extension of time to comply with the
free float threshold.

“We are pleased to announce that the NGX Regulation Company (NGX RegCo) has conditionally granted the Company a 24-month moratorium, ending on January 14, 2028, to take the necessary steps to restore the free float to the required level”, the company further noted.

Important regulatory notice to shareholders…

In accordance with the directive of NGX RegCo, Multi-Trex Integrated Foods notified its shareholders that: If the Company fails to achieve the required free float threshold within the extension period ending January 14, 2028, NGX RegCo may, at its discretion, suspend trading in the Company’s securities or commence the process of regulatory delisting from the Exchange.
Commitment to Compliance.

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“The Board of Directors remains fully committed to maintaining the Company’s listing status and is currently exploring various strategic options to increase the free float within the stipulated timeframe”, the company disclosed.