Following approval from the company’s shareholders, the National Insurance Commission (NAICOM), and the Securities & Exchange Commission (SEC), NEM Insurance Plc announced the restructuring of the company’s shares from a nominal share value of N0.50 to N1.00.
The share reconstruction will occur by consolidating every two shares held by each shareholder into one share. This implies that a NEM shareholder having 100,000 units of NEM insurance shares will now hold 50,000 shares at N1.00 per share.
To enable the reconstruction of the NEM Insurance shares, the company suspended trading of its shares on the Nigerian Exchange Limited for two weeks starting from Friday, 10 December 2021 to Thursday, 23 December 2021 both days inclusive.
This was seen in a document signed by the company’s secretary, Olajumoke Phillip-Akede.
The document in details; “We wish to inform our esteemed Shareholders and the General Public that at the Annual General Meeting (AGM) of NEM Insurance Plc (“NEM Insurance” or the “Company”) held on Thursday, 24 June 2021, the Company secured the approval of its shareholders for the share reconstruction/redenomination of NEM Insurance’s shares from a nominal share value of N0.50 to N1.00 by the consolidation of every two (2) shares held by each shareholder into one (1) share.
“Following the above shareholders’ approval, the Company also received the necessary regulatory approvals from the National Insurance Commission (“NAICOM”) on Wednesday, 27 October 2021 and the Securities & Exchange Commission (“SEC”) on Wednesday, 1 December 2021 respectively.
“To enable us to reconstruct the shares, we hereby give notice of the following:
1. That the shares of the Company will be suspended from trading on the Nigerian Exchange Limited for two (2) weeks beginning on Friday, 10 December 2021 to Thursday, 23 December 2021 both days inclusive.
2. That the Register of shareholders shall be closed for this period to enable the Central Securities Clearing Systems Plc. (CSCS) and Apel Capital Registrars Limited – the Registrars to NEM Insurance, to finalise the Reconstruction of the shares and produce a new Register for the Company.
“Once this is concluded, the suspension will be lifted and trading on the shares shall recommence.”