…As 2015 result, Q1, Q2, Q3 filings lag 30 days to 2017
Stanbic IBTC’s Holdings (SIBTCH) regulatory approvals for the 2016 financial year continued to be delayed, even as the holding company continues to wage legal battle with the Financial Reporting Council (FRC) of Nigeria over regulatory breaches.
Meanwhile, cross section of retail shareholders who spoke to Daily Times expressed concern over the delay in the company’s offerings and also release of its audited 2015 financial statements.
The observers urged the firm to deploy workable means at ensuring that the results are released, while the approved offerings are executed without further delay.
The holding company, the parent of Stanbic IBTC Bank and other subsidiaries, secured approval from the Nigerian Stock Exchange (NSE) on 18th March 2016 and on 26th August 2016 respectively.
While the NSE has, during the year, recorded some bond and ETF issuance on its official list, that of the Stanbic IBTC was still being awaited. However, based on the uncertainties surrounding its legal tussle with the FRC it may take longer for the instruments to be listed either on the NSE or the FMDQ.
The expected offerings by SIBTCH include, the Stanbic IBTC Asset Management Limited Proposed Initial Public Offering of 5,000,000 Units of the Stanbic IBTC Dollar at US$1 Each. Brokered by the group’s subsidiary, Stanbic IBTC Stockbrokers with Stanbic IBTC Capital is the issuing house, the approval for this was secured on 26th August 2016.
Also, being delayed is the Stanbic IBTC Asset Management Initial Public Offering of 10 million units of Stanbic IBTC Asset Management Limited Pension ETF 40 at N100 per Unit, with Stanbic IBTC Stockbrokers Limited stock broker to the offer, while Stanbic IBTC Capital Limited is the issuing house. Approval to tis offer was secured from the NSE on 18th March 2016.
Meanwhile, the company was sanctioned by the NSE for unauthorized publication under schedule 6 of the NSE X-Compliance report for publication without NSE’s prior written approval in 2015, of which the year’s financial report is yet to be released by the company.
Stanbic IBTC Holdings as at November 28th 2016 recorded market capitalization of N144.4 billion at equity price of N14.44 per share, a -1.43 performance from the previous day’s price
For failing to submit its 2015 financial report and 2016 quarterly results as at when due, the NSE has classified the company as falling short of listing standard in terms of timely disclosure of their audited annual financial performance.
Though the company had earlier in May reported on why the results are withheld, stakeholders however expressed concern that the issue should have be resolved long before now, to offer investors opportunity to make timely information before taking investment decisions.
The bank explained that on 24 March 2016, it informed NSE, other stakeholders and shareholders about the reporting challenges it was experiencing with FRC regarding its 2015 financial statements, which subsequently led to the engagement of its external auditors on the appropriate presentation of certain items in its financial statements, the subject of ongoing legal proceedings.
Stanbic IBTC had instituted an appeal at the Lagos Division of the Court of Appeal following allegations of mis-representation of its financial report, over which FRC had announced a regime of sanctions against Stanbic IBTC Holdings, including a fine of N1billion.
The NSE as at November 29th, 2016 listed the company as (AWR) defaulter for non- rendition of audited 2015 financial statements.
The same classification was also accede to the company by the NSE for non- rendition of Q1,Q2 and Q3 2016 results.
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