The Nigerian Stock Exchange (NSE) has downgraded BOC Gases Plc from medium-priced stock to low-priced stock after steep depreciation brought the industrial gases company to its lowest price in recent period.
Regulatory report at the NSE obtained at the weekend showed that BOC Gases’ share price had dropped below the N5 mark for medium-priced stock since January 16, 2020, necessitating the reclassification of the company in line with the extant rules on categorisation of quoted companies.
With the reclassification, the tick size for the company will change from five kobo to one kobo, implying that the share price will move slowly going forward.
The high-priced stocks consist of large-cap equities that are priced at N100 per share or above for at least four of the last six trading months, or new security listings that are priced at N100 or above at the time of listing on the Exchange.
The medium-priced stocks consist of medium-priced equities that are priced at N5 per share or above but less than N100 per share for at least four of the last six months, or new security listings that are priced at N5 per share or above but less than N100 per share at the time of listing on the Exchange.
The low-priced stocks, where majority of listed companies fall, consist of equities that are priced at one kobo per share or above but below N5 per share for at least four of the last six months, or new security listings that are priced at one kobo per share or above but below N5 per share at the time of listing on the Exchange.
