JSE follows NSE, places suspension on Oando

Just as the Nigerian Stock Exchange (NSE) did on Wednesday, The Johannesburg Stock Exchange (JSE), on Thursday, suspended trading on the shares of Nigerian oil company, Oando Plc.
The suspension was effected on JSE because the company is also listed on the exchange just as it on NSE. It has dual listing status.
“The Company has received communication from its primary listing, the Nigerian Stock Exchange (NSE), that the Securities and Exchange Commission (SEC) have issued a directive to immediately suspend the trading of Oando shares, a directive to which the NSE has complied,” the JSE said in its notice.
“The JSE has accordingly suspended trading of the Oando shares with effect from 09:00 a.m. SA time, pending clarification following the review of subsequent correspondence received on 18 October 2017 from the NSE and SEC and will provide a full statement of the Company’s position as soon as possible.”
In its response on Wednesday to the suspension by the NSE, the management of Oando plc said it was still reviewing documents sent to it by the NSE, and SEC.
In its suspension notice, Tinuade Awe, General Counsel and Head of Regulation at the NSE, said the full suspension is effective for 48 hours from Wednesday to Friday, after which it would commence a technical suspension until further directive.
Ms. Awe also affirmed that in the 48-hour period commencing Wednesday, there will be no trading in the shares of Oando Plc, adding that from Friday, investors will be able to trade in Oando Plc’s shares but such trading will not result in any movement in the price of the shares.
Oando has been enmeshed in crisis of recent.A group of aggrieved shareholders had attempted to disrupt its Annual General Meeting in Uyo, Akwa Ibom State over allegations of gross misconduct levelled against the management of the oil firm.
The irate shareholders also called for the removal of Wale Tinubu, the company’s Group Chief Executive Officer.
The aggrieved shareholders had strongly petitioned the nation’s apex capital market regulator, the Securities and Exchange Commission (SEC) on myriads of issues relating to mismanagement by the executive led by Wale Tinubu.