Lagos - The Nigerian Stock Exchange (NSE) has stated that it would not hesitate to sanction any quoted companies that fails to pay dividends to its shareholders within the timeline specified in the resolution passed by the shareholders at the Annual General Meeting at which such dividends were declared.
The move by the NSE is in line with one of its core strategic pillars for enhanced market performance and growth, reports Daily Trust.
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Tinuade Awe, NSE's Head, Legal and Regulation Division said he sanction is not a new proposal but part of the already existing General Undertaking in The Exchange’s Listings Requirements, which was executed by every issuer before its securities were approved for listing on The NSE.
She stated that before securities are approved for listing on the exchange, every company has to execute a document known as the general undertaking.
Read more at Daily Trust.
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