Oando shares record 10% growth, as NSE lifts technical suspension

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Oando

The Nigerian Stock Exchange (NSE) finally lifted the technical suspension it placed on the shares of Oando Plc, just as the stock rose by 10 per cent to close at N6.60 per share.

Trading commenced on the shares of the company at the capital market on Thursday, following a directive by the Securities and Exchange Commission (SEC).

The 176-day technical suspension was earlier lifted on April 11, following the April 9 directive by the SEC.

However, three hours into trading, the NSE reinstated the technical suspension, citing new directive from the apex capital market regulator causing confusion in the market.

The share price rose to N6.30, a 5.8 per cent increase, from N5.99 within three hours of trading on April 11.

Ms Ayotola Jagun, Oando Chief Compliance Officer and Company Secretary, said in a statement that the company’s shares were highly sought on its first full trading day.

Jagun said 178 million Oando shares were on bid with only 5.5million available for sale on the first full trading day.

She said the technical suspension affected Oando’s over 270,000 shareholders, investors, partners, management, staff and everyone who owed their livelihood directly or indirectly to the company.

“Shareholders were denied the opportunity of benefitting from Oando’s positive performance and gains spurred by higher crude prices over the last six months,’’ Jagun said.

She said the forensic audit into the affairs of the company was presently underway by Deloitte Nigeria (Deloitte), the SEC appointed forensic team lead.

“To date, the Company has been fully cooperative with both the SEC and Deloitte.

“In the spirit of goodwill, transparency and full disclosure, we will continue to cooperate with the SEC and its nominated parties in the discharge of their duties as the Capital Markets regulator during this exercise,” she said.

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