Multi-Trex NGX approval gives the food company 24 months to raise its public free float and comply with Nigerian Exchange rules

Multi-Trex Integrated Foods Plc has secured approval from the Nigerian Exchange to take steps to increase its public shareholding after a recapitalisation left the company below the Main Board free float requirement.

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The approval was granted by NGX Regulation Company, which issued a 24 month moratorium ending on January 14, 2028, allowing Multi-Trex Integrated Foods Plc to restore its free float to at least 20 per cent of issued share capital or a market capitalisation of 20 billion naira, whichever is lower.

The development was disclosed in a statement signed on Tuesday by the Company Secretary, Sogunle Adekunle, who said the extension gives the company additional time to meet regulatory obligations while implementing strategic measures to expand shareholder participation.

The recapitalisation followed a seven year cessation of operations and involved Messrs N-Foods Universal Concept Limited injecting fresh capital to settle outstanding obligations owed to the Asset Management Corporation of Nigeria.

Following the transaction, N-Foods Universal Concept Limited now holds 70 per cent of the company’s issued share capital.

This reduced the public free float of Multi-Trex Integrated Foods Plc to 7.23 per cent, valued at 117.46 million naira, according to the 2024 audited financial statements.

In a statement to shareholders, the board reaffirmed its commitment to maintaining the company’s listing on the Nigerian Exchange and said management is actively exploring viable options to increase the public free float.

The board cautioned that failure to meet the required threshold within the approved period could result in trading suspension or the potential delisting of the company’s securities.

Management also expressed appreciation to shareholders for their patience and continued support during the recovery phase, noting that deliberate steps have been taken to stabilise operations and strengthen compliance with market regulations.

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The Multi-Trex NGX approval marks a pivotal milestone in the company’s ongoing recovery, providing a clear regulatory pathway to deepen public participation and reinforce investor confidence.