LASACO Gains 18% Amidst IFRS Implementation Challenges
Lagos State-backed Assurance service company, LASACO Plc, recorded strong price movement during five trading sessions ended on Friday in the Nigerian Exchange.
The surge in the assurance company’s market price followed the company’s announcement that it faced challenges implementing the International Financial Reporting Standard (IFRS) 17. Insurance contracts.
According to data from the local bourse, the assurance company share price rose by 18.1%, up from N2.16 to N2.55 on Friday. At the current level, LASACO is trading at 13.85% discount to its peak price.
The share price had reached N2.96 per share, its 52 week high and the lowest it reached within the same period was N1.58.
The company told the Nigerian Exchange that it faces challenges in implementation of IFRS 17 As a result, its audited report for financial year 2023 and first quarter of 2024 were delayed.
LASACO Assurance has 1.833 billion shares outstanding valued at N4.685 billion at the close of trading session on Friday, with 47.50% free float rate as of Dec. 2023.
Major shareholders in LASACO Assurance Plc controlled 40.35% of the company entire shareholders, according to details from its Q4 result posted on the Nigerian bourse.
Of this, Ibile Holdings, its single largest shareholders own 27.65% of Lasaco Assurance followed 12.70% owned by Canon Property and Investment Limited.
Other influential shareholders include Stanbic IBTC nominee (3.65%), SNNL/AMCON (2.01%), First Pension Custodian (1.59%) Joint Heir Resources Ltd (1.36). Calyx Securities Ltd (1.24), Oceanic Trustees Nominee (1.13%) and Pyramid Securities ltd (1.08%).
Details from its unaudited fourth quarter earnings report showed the assurance company has N26 billion in total assets, about 41% of the amount was cash and cash equivalent. #LASACO Gains 18% Amidst IFRS Implementation Challenges
