UPDC Real Estate Investment Trust Plc has reported a 28.57 per cent drop in profit after tax for the six months ended June 30, 2021 to N583.200 million from N816.560 million posted in 2020.
According to the half year unaudited report obtained from the Nigerian Exchange Limited (NGX) net income was N775.141 million from Nn1.107 billion, accounting for a decline of 29.97per cent.
Income from investment property stood at N627.006 in 2021 as against N849.197 posted in 2020, representing a decline of 26.16 per cent.
Following the acquisition of the majority shares of UPDC Plc by Custodian Investment Plc, the Company has fallen below the Nigerian Exchange Limited’s (NGX) free float requirements of 20 per cent of issued share capital or N20 Billion free float value for companies listed on the exchange’s main board. Free float means the number of shares that an issuer has as outstanding and available to be traded on the Exchange.
It includes all shares held by the investing public, and excludes shares held directly or indirectly by promoters, directors and their close relatives; strategic investors holding five percent (5 per cent) and above of the issued share capital; or government.
According to a statement signed by the Company Secretary/ Legal Adviser, Mrs. Folake Kalaro, NGX Regulation Limited (NGX RegCo) and the company have been in discussions on the issue and the following resolutions been reached that “NGX RegCo has granted the Company a two year grace period till 10 August 2023 to comply with NGX’s free float requirements, in line with Rule 3.1.4 of the rules governing requirements for companies listed on the Exchange (Free Float Rules), the Exchange may suspend further trading in the Company’s securities if compliance with the Free Float Rules is not achieved within the two years grace period.
