SEC lifts suspension on Oando shares

Nigeria’s bourse lifted a suspension on the trading of shares in oil company Oando on Wednesday, following a directive from the Securities and Exchange Commission (SEC), the stock exchange said.

Trading on Oando shares had been frozen for six months on the Lagos stock exchanges after the regulator ordered the suspension to probe alleged insider trading and the oil company’s shareholding structure.

The shares resumed trade at 6.30 naira, after last closing at 5.99 naira six months ago.

The stock exchange notified Oando on the lifting via a letter. It did not provide any reason.

In October, SEC said it received two petitions about financial mismanagement by Oando that alleged that related party transactions were not conducted at arm’s length and that there were discrepancies in its ownership structure.

The SEC has said a team of auditors, lawyers, stockbrokers and share registrars would conduct a forensic audit on Oando to ensure independence. Accountancy firm Deloitte has been appointed to handle the audit.

In January, the company said it has settled a squabble with a key shareholder and was working on resolving remaining shareholder disputes and getting a suspension of its shares lifted. (Reuters)