Trustco Group Holdings has turned to South Africa’s High Court as it seeks to review the decision by the Johannesburg Stock Exchange (JSE) to revise and restate its financial information for the year ended March 31, 2019 and interim results for the six months to September 30, 2019.
This was after the South African Financial Services Tribunal (FST) had dismissed its appeal against a directive by the bourse.
“Shareholders were informed that Trustco had 180 days to bring a review application to the High Court in South Africa in terms of the Promotion of Administrative Justice Act No. 3 of 2000. After consultation with its advisors as well as minority shareholders (as set out in the SENS announcement dated 8 December 2021), the board filed its review application against the decision of the Financial Services Tribunal. The review application was also filed against the JSE and is considered the first step in the next processes available in law,” a JSE SENS said.
Trustco accuses the JSE of undermining the independence, accountability and integrity of its board, a development that has seen it securing minority shareholder approval to delist from the bourse and seek new listing elsewhere.
The diversified conglomerate’s minority shareholders voted in favour of all resolutions set out in the group’s non-binding advisory vote conducted.
Trustco’s delisting from one of Africa’s largest stock exchanges will also result in the diversified group delisting from the Namibian Stock Exchange, where it has a secondary listing.
Meanwhile the Namibia-headquartered company released its financials on Monday, ahead of a JSE suspension ultimatum.
According to the JSE, Trustco had failed to submit its provisional reports within the four-month period as stipulated in its Listings Requirements.
The company’s financial results for the period ended 31 August 2021, saw Trustco, with operations in insurance and investments, resources, and banking and finance, recording losses after tax of N$988 million, a 188% increase from the N$343 million recorded in 2020.
Revenues for the period were down 49% to N$313 million, with a 201% increase in headline losses to N$ 766 million.
