There is strong indication that the Nigerian Stock Exchange (NSE) may sanction Oando Plc as a result of the company’s inability to meet up with the bourse post-listing rules.
The Nigerian bourse is reviewing the situation regarding the delayed filings of the audited financial statements (AFS) of Oando Plc for the year ended 31 December 2014 and its first quarter and half-year delayed filings.
According to information from the exchange, the local bourse is greatly concerned about the delayed filings and the significant losses which were posted for the 2014 fiscal year and the first three quarters of 2015.
On 23 October , 2015, Oando had filed its 2014 AFS as well as its first quarter and half-year 2015 interim unaudited accounts with the exchange.
Oando’s filing of its AFS and interim accounts followed several engagements with the Exchange both before and after the due dates for these filings. As part of the engagements, the Exchange directed that Oando’s top management should discuss the delay with the dealing clerks on the trading floor of the exchange on 23 October 2015.
Oando made the filings just before the meeting. During the interaction with dealing clerks, the Chief Executive Officer of Oando, Mr. Wale Tinubu, committed to holding a Facts Behind the Figures session on Monday, 26 October 2015 at the Exchange.
Responding to the incident, the NSE said“Oando filed its third quarter interim unaudited accounts on 26 October 2015. Oando has been sanctioned for violations of its post-listing obligations in accordance with applicable rules of the exchange.
“In addition, the Exchange has invited Oando’s audit committee as well as its external auditors. Should the Exchange’s continuing review reveal that Oando committed other infractions, the exchange will mete out appropriate sanctions pursuant to its rules. The Exchange has reported the situation to the Securities and Exchange Commission and, will involve other stakeholders, as appropriate.”