Suspended Erin Energy reassures investors it will trade ‘over the counter’
Erin Energy reassured its JSE investors on Monday morning that although the New York Stock Exchange suspended its shares on April 26, the company would continue trading "over the counter". Originally called Camac Energy, the company advised shareholders on Thursday that it had filed for bankruptcy under the US’s "Chapter 11" business rescue laws. Investigative journalism team amaBhungane published a story on the day Erin filed for bankruptcy, pointing out that the government’s pension fund manager, the Public Investment Corporation (PIC), stood to lose its R4bn investment in the Houston-based oil company. Erin is one of the JSE’s most illiquid shares. It last traded on the JSE on March 27, when just 234 shares changed hands for R30 each in one trade. The deal before that was on March 12 when 309 shares traded for R29.50 in two trades. In Frankfurt, Erin’s share price fell 34% to €1.32 on Monday morning following the announcement.
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