-Supports share reconstruction
July 07, 2009 15:19 GMT
The Nigerian Stock Exchange (NSE) is making plans to change the nominal value of prices of shares on the Nigerian Capital Market (NCM) from 50 Kobo to N1.00 per share.
Professor (Mrs.) Ndi Okereke-Onyiuke, the Director General/Chief Executive Officer (DG/CEO) of the NSE made this confirmation today Tuesday July 02 2009 in Lagos Nigeria at the town hall meeting with the CEO’s of quoted companies on the Nation’s Stock Exchange.
“We in the Exchange also want to adjust our nominal value to N1.00 instead of 50 Kobo share, it doesn’t make any difference in the money” she said.
Prof. Mrs. Okereke-Onyiuke confirmed that in Nigeria people do not pay in Kobo anymore. “When Nigerians quote prices, we don’t quote Kobo, our currency is in Naira” she affirms.
The DG of The Stock Exchange confirmed that this has been done on the Daily Official List of the NSE; “we no longer say 400 Kobo; but N4.00 when we report prices. So we will do that with the nominal value and it would no longer be 50 Kobo, but N1.00” Prof. Mrs. Okereke-Onyiuke said.
She further affirmed that this change would not be done alone, but in conjunction with The Securities and Exchange Commission (SEC) and the Corporate Affairs Commission (CAC). “We have to carry along SEC and CAC; because when you registered your companies it was at the nominal value of 50 Kobo” she affirmed.
Prof. Mrs. Okereke-Onyiuke assured the quoted companies will not pay any fee to effect this change when amending their registration with the CAC and the NSE. “The NSE will make sure that you are not charged any fees for the amendment in the registration” she said.
“This will take care of reducing the quantities of shares and it will make sense for any company that wants to do share reconstruction” she said.