UT bank has resumed trading shares on the Ghana Stock Exchange (GSE) with a 208,100 volume traded at a share price of 0.0 3 pesewas on the bourse as at 1pm today.
This gives the bank the highest volume traded so far for 2017 after the bank was halted by the GSE on January 5, 2017 for failing to publish its quarterly audited accounts to shareholders.
It is unclear the why the significant increase but some explanations received by Citi Business News indicate that the high volume traded may be attributed to new information released by the bank to restructure its business, increasing confidence for investors.
UT Bank in a circular to brokers and shareholders explained that the deferral of the publication was to enable it restructure its business.
According to the bank, “This deferral was sought to enable the bank complete a restructuring of the business which will have a material impact on the presentation of its financial statements”.
It added that “ the bank is currently in the process of finalizing accounts for 2015 and 2016. These results and related arrears will be released before the end of the first quarter of 2017”.
It further assured that the Board and Management of UT Bank are working closely with its auditors, advisors and regulators to complete the restructuring and subsequently raise capital which was approved at the Extraordinary General Meeting held on 4th May, 2016.
Management of the bank assured that significant progress has been made in the bank’s capital raising efforts and the transaction is expected to be completed soon.
“The Board of Directors and Management of UT Bank Limited are focused on growing the Company and creating value for our shareholders and customers. We look forward to stronger partnerships as UT Bank prepares to enter this new phase of its organizational history”.
Meanwhile, An Associate Equity Trading analyst with UMB, Kofi Kyei has explained that even though the measure is not new it is aimed at protecting investors.
According to him, it is imperative for listed companies to provide periodic information to investors since investors take major decisions based on availability of information.
“What the GSE did is aimed at protecting investors. it is part of the requirement that companies have to obey,” he said.
citibusiness
