one of The JSE's longest-running technology company no longer exists, with Erie's Holdings set to be liquidated and shut down, it was announced on Wednesday.
This comes after the company entered voluntary business rescue in January after a planned takeover of Bundu Power, which it hoped would put it on a stronger financial footing, fell through.
The deal required debt financing from Erie's bankers and shareholder approval. Bankers advised Erie's that they were not prepared to finance the acquisition, jeopardizing the turnaround plan and sending the company's stock plummeting to its lowest tradeable price of 1 cent.
Eriez Electronics was founded in 1979 by the late Elliott (“Ellie”) Salchow, who passed away in 2021. He initially operated out of his home garage and sold antennas out of the trunk of his car. The historic story came to an abrupt end on Wednesday with news that it was going out of business.
Read: Remembering SA broadcasting pioneer Elie Salchow
“The business rescue officer has concluded that there is no reasonable prospect that the company will be rescued and therefore intends to bring proceedings in court pursuant to section 141(2)(a)(ii) of the Companies Act. “I have ordered the termination of the rescue proceedings and the liquidation of the company,” it said in a short statement on the JSE's stock exchange news service. – (c)2024 NewsCentral Media