Telcos may be fined N5 million for this reason

The Board of Directors of CCNN Plchas announced that the company would observe the close period of trading from October 10, 2019, until 24 hours after the Management financial results for the period ended September 30, 2019, are released to the public on or before October 31, 2019.

The statement, which was disclosedin a notification sent to the Nigerian Stock Exchange (NSE), stated that the Board of Directors of the company would hold a meeting on October 24, 2019.

The announcement is in line with rule 17.18 of Part 2 (Issuer’s Rules) of the NSE’s Rule Book (2015) which states that,

“The period of closure shall be effective from fifteen (15) days prior to the date of any meeting of the Board of Directors proposed to be held to consider any of the matters referred to above or the date of circulation of agenda papers pertaining to any of the matters referred to above, whichever is earlier, up to twenty-four hours after the price-sensitive information is submitted to the Exchange. The trading window shall thereafter be opened. Every issuer shall notify the Exchange in advance of the commencement of each closed period.”

Why this matters: The close period will allow the board to consider the company’s unaudited financial statements for the third quarter. Other company issues will also be discussed during the meeting of the Board of Directors.

What is a close period? A close period is a period before the release of a company’s result or financial statement when of course, those with sensitive information are not allowed to trade on the stock. These individuals may include company directors, audit committee members, persons discharging managerial responsibility, employees and consultants with sensitive information.

About CCNN: Cement Company of Northern Nigeria Plc (CCNN) manufactures and sells cement in Nigeria. The company sells cement under the Sokoto Cement brand name. It primarily markets in Sokoto, Kebbi, Zamfara, Katsina, Kano, and Kaduna states. The company was incorporated in 1962 and is headquartered in Sokoto, Nigeria.

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