LivingTrust Mortgage Bank has given update on its free float- which represents the portion of its shares in the hands of public investors as opposed to locked-in shares held by insiders or investors with controlling-interest.
In a recent notice signed by the company’s secretary, Timothy Gbadeyan, the mortgage bank revealed that it has secured a two-year grace period from the Nigerian Exchange Limited (NGX), valid till 20th of August 2023, to meet up with the statutory free-float requirements for listed companies.
The extension is to enable the firm meet up with the free float requirements of 20% issued and fully paid share capital or N20 billion free float market capitalization for companies listed on the NGX Main Board.
In a bid to address the free float deficiency, the firm also announced that its majority shareholders pledged to make available 750,000,000 ordinary shares of the company for trading to members of the public. In addition, the bank revealed that it will hold a ‘facts behind the figures session’ and an earnings call, among other activities to showcase the company’s performances during the grace period
In conclusion, it is pertinent to note that based on the provisions of Rule 3.1.4 of the Exchange’s Rules Governing Free Float Requirements for Listed Companies, NGX reserves the right to suspend trading in the company’s securities if it fails to achieve the required free float threshold within the extended period.
What you should know:
- NGX had earlier given an extended timeframe to UACN Property Development Company Plc (UPDC Plc) and Prestige Assurance Plc to meet up with their free-float requirements.
- LivingTrust Mortgage Bank closed trading today 24th of August, 2021 with a share price of 67 kobo per share.