NGX Gives UPDC Plc Two Years Grace Period to Comply With Free Float Requirements

The Nigerian Exchange Limited has given UPDC Plc, recently acquired by Custodian Investment Plc, two year grace period to comply with the Exchange free-floated requirements.

This was contained in a statement signed by Mrs. Folake Kalaro, Company Secretary and Legal Adviser, UPDC Plc.

UPDC Plc fell below the Nigerian Exchange Limited’s free-floated requirements of 20 percent of issued share capital or N20 billion free-floated value for companies listed on the Exchange Main Board following the acquisition of the majority shares by Custodian Investment Plc.

UPDC Plc said “NGX Regulation Limited (NGX RegCo) and the Company have been in discussions on the issue
and the following resolutions have been reached:

i) NGX RegCo has granted the Company a two (2) year grace period till 10 August 2023 to comply with NGX’s free float requirements.

ii) In line with Rule 3.1.4 of the Rules Governing Requirements for Companies Listed on the Exchange (Free Float Rules), the Exchange may suspend further trading in the Company’s securities if compliance with the Free Float Rules is not achieved within the two (2) years grace period.

The Company and its majority shareholders however remain fully committed to ensuring compliance with the Free Float Rules within the grace period.”