The board of Afristrat Investment Holdings, a suspended JSE-listed company with investors investing R2.3 billion in preference shares, has been forced to abandon its planned application for voluntary liquidation for the time being.
Afristrat, in an update on its voluntary liquidation application published in Sens on Friday, informed shareholders about the July 24, 2023 announcement regarding the company's creditors who have initiated their own liquidation application against the company. Mentioned.
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Read: Afristrat to go into liquidation due to 'commercial bankruptcy'
The creditor winding-up application was listed on the High Court's unopposed register to be heard on July 20, 2023, but was subsequently filed by Afristrat's minority shareholder Jeannie Michelle Dreyer. It has been deleted pending the outcome of the liquidation application. company.
Afristrat announced on Friday that its creditors intend to re-register the liquidation application.
This follows the dismissal, with costs, of Dryer's emergency application for the provisional liquidation of Afristrat by Judge Gregory Alley in the High Court in Pretoria on 20 February 2024.
Read: Afristrat’s provisional liquidation application rejected
The Afristrat newspaper said the creditor petitioner (which it did not name) is currently awaiting a new date for the hearing of the matter.
“As a result, Afristrat is unable to proceed with its voluntary liquidation application at this time, as creditor applications will take priority.”
Change the conversation digitally
Moneyweb reported on 29 February 2024 that Change The Conversation Digital (CTCD), a former client of Afristrat, will re-register an application to wind up Afristrat, citing R433 000 owed to the company.
Read: Afristrat faces second liquidation application
Sandy Greaves Campbell, a director at CTCD, told Moneyweb over the weekend that the company's position has not changed since Afristrat announced that it had become commercially insolvent and the board planned to apply for liquidation. admitted that it had not changed.
“Our intention is to proceed with the winding-up application for Afristrat,” she said.
“Afristrat owes money to CTCD, but has defaulted on payments.
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“In terms of Article 345 of the Companies Act, on which the application is based, Afristrat is deemed unable to pay its debts.”
Mr Dreyer confirmed last week that he would definitely apply for leave to appeal the rejection of the AfriStrat liquidation application.
“The documents are ready and I plan to submit them tomorrow.” [Friday] Or something,” she said.
Decision of the board of directors regarding liquidation
The board of directors of Afristrat Investment Holdings, formerly known as Ecsponent, has decided to liquidate the company on March 1, 2024.
In a Sens statement released on March 6, 2024, Afristrat advised the company's stockholders that the board of directors has determined that the company:
- Unable to pay debt.
- It is fair and just to wind up the company because it does not meet the solvency and liquidity tests set out in section 4 of the Companies Act 2008 (Act No. 71 of 2008), as amended.and
- As the company is commercially insolvent, it will be necessary to proceed with an application for winding up under section 344(f) and/or section 344(h) of the Companies Act 1973.
Afristrat added that the conclusion reached by the board regarding its going concern assessment will not be affected by the judgment and rejection of Mr. Dreyer's liquidation application.
Afristrat last published its audited financial statements for the year to the end of March 2021, but as the company did not publish its audited financial statements for the year to the end of March 2022 on time, the JSE will All trading in the company's shares was suspended from August 5, 2019. As stipulated in the JSE listing requirements, the period is four months from the end of the financial year.
Afristrat has announced the resignation of external auditor Nexia SAB&T, effective August 12, 2022, and has not been able to appoint a new external auditor to date.
read:
Afristrat has acknowledged that it is unable to continue as a going concern. [Jan 2024]
Huh? Afristrat suspended by JSE issues cryptic trading update
JSE suspends trading in AfriStrat shares [Aug 2022]
Afristrat violates corporate law [Jun 2023]
