Ahead of N68billion planned Rights Issue of Access Bank, the Nigerian Stock Exchange (NSE), Monday placed the shares of the bank on technical suspension.
The action follows the Herbert Wigwe-led bank’s application to that effect. However, the suspension will be lifted on January 27, 2015.
By this development, there will be no movement in price of the stock upwards or downwards, though it may be traded, till January 28, 2015 when normal trading activities will resume on the stock. In other words, the price will remain static pending the lifting of the technical suspension.
The bank will hold an Extraordinary General Meeting (EGM) on Monday, October 13, 2014 to seek its shareholders’ approval to raise additional equity capital in the sum of up to N68 billion by way of a Rights Issue.
The board believes that the technical suspension is in the overall interest of the bank’s shareholders and will preserve shareholders’ value, on account of the proposed corporate action.