Two months after angering some investors by committing additional resources to bail out an executive share ownership scheme, Brait said its net asset value (NAV) per share would fall by about a quarter for the year ended March.  The company, in which businessperson Christo Wiese is a large shareholder, said the fall in NAV per share to a range between R40.75 and R42.75 was a result of making adjustments as required by the methodology it used to value its three primary investments.

The announcement caused a sharp selloff in the share price, falling more than 12% to close at R20.45 per share, its ​worst performance in five months. Brait’s share price was trading at a discount of about 50% to its expected NAV. “I think the market has been aware for some time the NAV was going to fall. But it’s still a disappointing number, and even at the lower end of the range they provided it means the company is trading at a discount to NAV of 50%. This is reflective of what the market thin...

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