NSE DG, Oscar Onyema
By Goddy Egene
The Nigerian Stock Exchange(NSE)has granted listed companies 30 days extension to comply with periodic filing obligations.
According to the NSE, the development is in response to the challenges being experienced by listed entities in meeting their regulat for fiscal 2012 Audited Accounts and 2013 Interim Accounts.Following the challenges, the exchange has therefore, granted all listed entities an extension of 30 days from the due date of the required periodic financial submissions.
The exchange explained that the extension offers fresh assurance to businesses and advisors challenged with the adoption of International Financial Reporting Standards (IFRS) as well as increased levels of regulatory approvals, including from the Financial Reporting Council of Nigeria (FRC).
The General Manager, Legal and Regulation Division of NSE, Ms. Tinu Awe, said: While we believe that the timely disclosure of financial information is critical to stakeholders in the capital market as well as investors, the challenges which the entities are facing are germane. It is in view of the extenuating circumstances that the exchange is granting all listed companies an extended filing date of 30 days from the due date of the required periodic financial submissions”.
According to her, the NSE will not apply the tag Below Listings Standard (BLS) beside the names of entities on the X-Compliance Report which is published on its website because of the extension. She added that the NSE would also forbear from imposing any financial or disclosure penalties during the extension period.
The Nigerian bourse had in 2011 introduced the X-Compliance Report as a transparency initiative designed to maintain market integrity and protect investors by providing compliance related information on all listed companies.
Companies listed on the exchange are required to adhere to high disclosure standards which are prescribed by the listing rules of the exchange.
Financial information, which is structured, periodic disclosure and on-going material events disclosure are also to be released to the NSE in a timely manner to enable it efficiently perform its function of maintaining an orderly market.