Labat Africa shares plunge 40% after ‘game changer’ deals in transport and logistics sector collapse LABAT Africa’s share price has nose-dived more than 40% since its shock announcement three weeks ago that all talks to acquire several businesses in the transport and logistics sector had collapsed.The surprise announcement on May 5 came on the heels of a statement last month that its acquisition of Reinhardt Transport Group (RTG) — the deal that was supposed to be a "game changer" for Labat Africa — had fallen through.At the time of the announcement, Labat was trading at about 44c per share.As a result, profits for the six months to February were expected to fall below forecasts, the company said.The R560m acquisition of RTG, a large transporter of dry bulk commodities, was intended to be Labat’s springboard into the logistics sector.When the acquisition was first announced last year, Labat, which is headed by former South African Rugby Union boss Brian van Rooyen, said it expected ...
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