Firm Exonerates Self of Alleged Insider Trade

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Multiverse Resources Plc, a financial market firm, has claimed ignorance of an insider dealing involving one of its significant shareholders known as Heritage Capital Markets Plc. It was alleged that Heritage the previous week exchanged shares with ET and F Limited.

But in its defence, in a notice sent to the Nigerian Stock Exchange (NSE), Multiverse said that it learnt of the transactions after they have been concluded. However, the firm is yet to issue a notice releasing more details about the new buyer.

A market operator speaking on the condition of anonymity said the excuse given by the firm does not hold water. This is because the party in question is a capital market operator who should have alerted the company.  It added that Heritage capital, which had a previous brush with regulatory authorities, should have been more careful.

On Wednesday, December 21, 2016, the Securities and Exchange Commission (SEC) suspended the firm along with its directors and sponsored individuals in connection with the unauthorised sale of shares belonging to an investor. SEC also stated that Heritage refused to comply with its directives. However, SEC lifted the suspension on Wednesday February 1, 2017.

Moreover, according regulatory authorities, Multiverse also did not give further details about ET and F Limited, nor the actual number of shares that were crossed. Over 300 million shares were traded last week, representing over five percent of the company’s outstanding shares.

Multiverse Mining and Exploration Plc was incorporated as a Private Limited Liability Company, on June 20, 2002. It commenced business on April 1,2005 and was converted to a Public Limited Liability Company on April 18, 2008. The company’s shares were listed on the Nigerian Stock Exchange on October 8,2008.

Multiverse is engaged in the business of exploring, extracting, prospecting, boring, refining, drilling for, producing, and quarry mining of stones and other extractive solid minerals.

 

 




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