Residual Debt Services reports a R450m operating loss to end-September
Residual Debt Services (RDS) — the "bad bank" portion of African Bank — reported a R450m operating loss for the six months to end-September on Thursday. When African Bank went into curatorship in Aug 2014, it was split into a "good bank" which retained its brand name, and a "bad bank" renamed RDS. The banks were separated from their JSE-listed holding company, African Bank Investments Limited (Abil), which resumed trading on February 1 under the new name Africa Phoenix. African Phoenix remains a shareholder of RDS. The bank is not in a position to pay dividends to its shareholders or interest to sub-ordinated debt holders, the statement said. RDS curator Tom Winterboer said a R3.3bn loan from the South African Reserve Bank had been repaid with interest by September 1, 2016. Another senior creditor is South African Revenue Services. "Due to the uncertainty relating to this matter, no deferred tax asset or liability has been raised in the financial statements," RDS said. Loan advances...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.