Infostride News reports that the Nigerian Exchange has imposed a substantial fine of N453.6 million on Guinea Insurance Plc due to post-listing violations. This punitive action, as detailed in the X-Compliance Report of the Exchange, underscores the regulatory body’s commitment to upholding the integrity of the market and safeguarding the interests of investors.
In accordance with the X-Compliance Report obtained by Infostride News, Guinea Insurance Plc was found to have contravened the Issuers’ Portal Rules, specifically Rules 18.2(c) and 18.2(d). These rules mandate that listed companies must utilize the Issuers Portal to file sensitive information, and the company’s failure to comply with these regulations led to the imposition of the substantial fine.
The X-Compliance Report, specifically in Schedule five, emphasizes the importance of timely information provision by listed companies to the Nigerian Exchange (NGX). This disclosure of information enables the NGX to effectively maintain an orderly market. According to the report, “Every listed company is required to provide NGX with timely information to enable it efficiently to perform its function of maintaining an orderly market.”

This requirement is in line with the provisions of the Appendix III: General Undertaking (Equities), Rulebook of NGX, 2015 (Issuers’ Rules) and NGX’s Circular No. NSE/LARD/LRD/CIR3/17/05/12 on Publication of Announcements or Press Releases via the Issuers’ Portal. Additionally, companies are obligated to obtain prior written approval from NGX RegCo before making publications that affect shareholders’ interests in the media or via the Issuers’ Portal. Moreover, they must also disclose material information to NGX and include it in their Annual Reports.
The X-Compliance Report is an initiative initiated by the Nigerian Exchange Limited (NGX) to maintain market integrity and protect the interests of investors. This initiative provides compliance-related information on all listed companies, ensuring that they adhere to high disclosure standards, as prescribed in Appendix III of the Listing Rules.
The disclosure standards encompass both periodic financial information and the ongoing disclosure of material events. These disclosures are expected to be submitted to NGX in a timely manner to facilitate the orderly operation of the market.
In a related development, Guinea Insurance Plc recently secured regulatory approval for its plan to issue 1.8 billion units of ordinary shares at a rate of 50 kobo per share in a private placement. The company announced this significant development in a statement, highlighting that it had obtained unanimous approval from industry regulators, including the National Insurance Commission, the Securities and Exchange Commission, and the Nigerian Exchange Group.
The CEO of Guinea Insurance Plc, Ademola Abidogun, emphasized the strategic importance of the private placement initiative. He described it as a critical step in capitalizing on emerging opportunities and enhancing value for all stakeholders. Abidogun articulated the company’s proactive approach to securing future growth, increasing its market share, and delivering maximum returns to investors and partners.
He stated, “Guinea Insurance Plc is fully prepared to make the most of this opportunity to further fortify our market position, enhance customer experience, and open doors to even greater possibilities.” This initiative reflects the company’s commitment to growth and value creation in a dynamic and competitive market environment.
In conclusion, Guinea Insurance Plc has been fined N453.6 million by the Nigerian Exchange for post-listing violations. This action underscores the importance of adherence to disclosure standards and the efficient use of the Issuers Portal to provide timely information. It also highlights the regulatory commitment to maintaining market integrity. Additionally, Guinea Insurance’s recent regulatory approval for a private placement of 1.8 billion units of ordinary shares signifies the company’s dedication to securing future growth and maximizing returns for stakeholders.
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