Tradehold share price rises after redeeming preference shares
Tradehold is redeeming its preference shares as part of a long standing agreement with financier RMB, the company said on Tuesday.
An earlier version of this story speculated that Christo Wiese may be the owner of the 62-million preference shares Tradehold said it is buying back at R10 each. The company responded by saying this is not the case, and the owner of the preference shares is financier RMB.
Tradehold, whose share price plunged 20% last week because of its association with Steinhoff via Wiese, rebounded 8% to R15.48 after announcing it was redeeming all its preference shares for R10 each.
In addition, Tradehold said it would pay a 3.6c dividend to its preference shareholders before cancelling them on December 18.
Tradehold’s preference shares have not registered a single trade since their listing on the JSE in February 2015.
Tradehold, which reports in pounds because it was historically a UK-focused property group but its portfolio is now mainly in SA and Namibia, had £33m cash at August 31.
Steinhoff also continued its rebound on Tuesday morning, gaining as much as 34% to R12.49. Steinhoff closed 56% higher at R9.35 on Monday after sinking to low of R5 on Friday, less than a tenth of its R55.81 closing price on December 1.