Afristrat Investment Holdings Limited, a financially distressed JSE-listed financial services company, is awaiting the outcome of a high court application to liquidate the company while its JSE listing remains suspended.
- The company issued a trading update for the 12 months ending March 2022, stating that its loss had narrowed compared to the previous year. However, the update was published almost a month after the deadline for releasing financial results set by JSE listing requirements.
- Afristrat underwent a restructuring in May 2020, converting R2.3 billion in preference shareholder debt into equity. The company has faced challenges, including the collapse of its investment in the MyBucks Group and a solvency and liquidity decline.
- The JSE suspended trading in Afristrat’s shares in August 2022 due to the company’s failure to submit its annual reports within the specified timeframe.
- Afristrat’s CEO, George Manyere, did not comment on the trading update when approached by Moneyweb, citing ongoing legal issues.
- The company has not appointed new external auditors since the resignation of its previous auditor in August 2022. The appointment of auditors is required within 40 days under the Companies Act.
- A minority shareholder has filed an application to liquidate Afristrat, with the judgment still pending. The shareholder expressed doubt about the accuracy of the trading update, highlighting issues such as the company’s lack of offices, non-functioning emails, and a downed website.